Eligibility CriteriaTo get reimbursed for moving expenses, you have to move closer to your new workplace, business, or school.
Distance RequirementThe new work or study location must be at least 40 kilometres closer to the old residence than the previous location.
Time Requirement Newcomers must start working or attending school within a reasonable timeframe after moving to the new location.
Type of Expenses Expenses such as transportation, storage, travel, temporary accommodation, and costs related to selling or ending the lease of the previous residence.
Reasonable and Necessary Expenses Necessary expenses related to the move are eligible for deduction. Keep proper documentation and receipts for all expenses.
Reimbursement and Employer SupportIf the employer reimbursed the moving expenses, the newcomer may not be eligible to claim.
Timeframe for Claiming Expenses Claim any moving expenses in the tax year of the move or the following one. Keep track of the timing to avoid issues.
Deductible and Non-Deductible ExpensesReal estate expenses, selling a previous home, or entering into a lease cannot be deducted.
Completing the Tax FormsNewcomers who need to file taxes can fill out Form T1-M, Moving Expenses Deduction, to claim any eligible moving expenses.
Proof of Eligibility Keep supporting documentation, such as receipts, bills, contracts, and proof of a change of address.
Seeking Professional Advice Consult with a qualified tax professional or use tax software specifically designed for newcomers for proper understanding.