Clyde currently commutes 55 miles to work in the city. He is considering a new assignment in the suburbs on the other side of the city that would increase his commute considerably. He would like to accept the assignment, but he thinks it might require that he move to the other side of the city. Determine if Clyde’s move qualifies for a moving expense deduction and calculate the amount (if any) under the following circumstances: (assuming he is employed for 39 of the next 52 weeks).
a. Clyde estimates that unless he moves across town, his new commute would be almost 70 miles. He also estimates the costs of a move as follows:
Lodging while searching for an apartment $ 126
Transportation — auto (100 miles @ 19 cents/mile, rounded) 19
Mover's fee (furniture and possessions) 1,500
Meals while en route 35
(i) Does Clyde’s move qualify for a moving expense deduction?
(ii) Calculate the amount of deduction.
b. Clyde estimates that unless he moves across town, his new commute would be almost 115 miles. He also estimates the cost of a move as follows:
Lodging while searching for an apartment $ 126
Transportation — auto (100 miles @ 19 cents/mile, rounded) 19
Mover's fee (furniture and possessions) 1,500
Meals while en route 35
(i) Does Clyde’s move qualify for a moving expense deduction?
(ii) Calculate the amount of deduction.
c. Clyde estimates that unless he moves across town, his new commute would be almost 150 miles. He also estimates the cost of a move as follows:
Lodging while searching for an apartment $ 126
Transportation — auto (100 miles @ 19 cents/mile, rounded) 19
Mover's fee (furniture and possessions) 1,950
Meals while en route 35
(i) Does Clyde’s move qualify for a moving expense deduction?
(ii) Calculate the amount of deduction.
