IRS Form 3903 Instructions
- 1). Verify, prior to completing the form, that you meet the IRS time and distance requirements to claim deductions on Form 3903. In general, the distance test requires that your new job be located a minimum of 50 miles farther from your old home than your old job was from your old home. The time test requires that you must work at least 39 weeks in the first 12 months you arrive in your new job location. If you do not meet both of these tests, you generally cannot claim a deduction for moving expenses.
- 2). Enter your name and Social Security number where indicated below the header line of Form 3903.
- 3). Enter on line 1 the amount of costs incurred for the transportation and storage of household items and personal effects. This will often include amounts paid to a moving service.
- 4). Input on line 2 the cost of your personal travel between your old home and your new one. You may include the cost of lodging during the trip, and you can include the cost of a one-way trip for each member of your family. Multiple trips between your old and new homes may not be deducted.
- 5). Add the total of lines 1 and 2, and enter the result on line 3.
- 6). Enter on line 4 any nontaxable reimbursement you received from your employer for relocation costs. If your reimbursement from your employer was taxable, do not include it on this line. You will need to ask your employer about the tax treatment of any reimbursement you received.
- 7). Subtract line 4 from line 3, and enter the result on line 5. (If it's less than zero, enter zero.) This is your deduction for moving expenses.
- 8). Enter the amount on Form 3903's line 5 on Page 1 of Form 1040, under the line "Moving Expenses."
- 9). Attach the completed Form 3903 to Form 1040 when filing your tax return with the IRS.
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