Author Topic: Moving Expense Tax Deduction on State Taxes  (Read 2085 times)

felizcortez

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Moving Expense Tax Deduction on State Taxes
« on: March 28, 2017, 09:00:54 AM »
So I have about 15k worth of moving expenses from my move to CA from Illinois.  I understand the full amount gets deducted at the Federal level, but since I have to file a state return for both CA and Illinois.  Do I put the full 15k on each state return or only the state in which I moved to?  I tried it in TurboTax and they let me enter it for both, and then I did the return again in TaxAct and I don't see an option to add it in to both. 

BigRed

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Re: Moving Expense Tax Deduction on State Taxes
« Reply #1 on: March 30, 2017, 04:44:57 PM »
You will file form 540NR Schedule CA for California, which performs adjustments for part year residents.  The instructions will tell you to put the full moving deduction on line 26, Column A, and that if you moved OUT of CA (you did) to put $0 in Column E for use on your California return.  You cannot deduct moving expenses on your CA state return for moving out of the state.

I'm not sure how to get that into TaxAct, even though I use TaxAct, and moved out of CA this year.  I will be deducting our expenses on our 2017 return since we were reimbursed for most of our expenses by my wife's employer, but not until March 2017.  If you are reimbursed in a subsequent year, you can choose which year to take the deduction.

I don't know anything about IL, we moved to NJ, where you can't deduct anything, including contributions to 403(b) or any other non-401k tax deferred account.

Heroes821

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Re: Moving Expense Tax Deduction on State Taxes
« Reply #2 on: March 31, 2017, 11:37:58 AM »
Oh thanks! I will have to look into this I didn't even think about moving expenses for state taxes myself.

 

Wow, a phone plan for fifteen bucks!