Can I deduct my moving expenses from my taxes?
August 17, 2023 | 40,00 EUR | answered by Wolfgang Lenzner
Dear Tax Advisor,
My name is Wolfgang Becker and I recently moved for work-related reasons. During the move, I incurred some costs, such as the moving company, the renovation of the new apartment, and the double rent for the old and new locations. Now I wonder if I can claim these moving expenses on my taxes.
I am currently unsure whether I should report the moving costs in my tax return, as I have read that this is only possible under certain conditions. I am worried that I might make a mistake and that there could be tax disadvantages as a result.
Could you please explain to me under what conditions moving expenses are tax deductible? Are there specific criteria that I need to meet for the costs to be considered? What receipts do I need to provide and what is the maximum amount I can claim?
I would greatly appreciate your assistance and guidance on this matter, so that I can ensure that I fill out my tax return correctly and do not overlook any potential savings.
Thank you in advance for your help.
Sincerely,
Wolfgang Becker
Dear Mr. Becker,
Thank you for your inquiry regarding the tax deductibility of moving expenses. I can understand that you may feel uncertain and do not want to incur any tax disadvantages. I am happy to explain to you the requirements and conditions under which moving expenses can be claimed for tax purposes.
In general, moving expenses can be deducted for tax purposes if the move is work-related. This means that the move must be necessary for job-related reasons, such as due to a new job location. Additionally, you must have paid for the costs yourself, without reimbursement from your employer.
Deductible moving expenses include costs such as moving company fees, renovation of the new apartment, double rent for the old and new locations, transportation costs, and meal expenses during the move. Costs for changing address with authorities and insurance can also be claimed. It is important that the costs are verifiable, so you should keep all receipts and invoices carefully.
There is no fixed maximum amount that you can claim, but the costs must be reasonable. The tax office will review the moving expenses as part of work-related expenses and will only consider the actually incurred costs. Therefore, it is worth documenting all expenses accurately.
To report the moving expenses in your tax return, you can use the "Anlage N" form. There you list all relevant costs and attach the corresponding receipts. If you have any uncertainties or questions, you can also consult a local tax advisor who can assist you with the correct completion of your tax return.
I hope this information helps you and gives you confidence in reporting your moving expenses in the tax return. If you have any further questions, please feel free to contact me.
Best regards,
Wolfgang Lenzner
