Every year, millions of dollars in tax deductions and credits get overlooked, and many taxpayers don't get the full refunds they are entitled to. Now that tax season is right around the corner, here are five commonly overlooked tax breaks you should make sure you don't miss.
Did You Move?
Many people don't realize that moving expenses are tax deductible, as long as the move was job-related. Now, this doesn't necessarily mean you have to have a job lined up before you move. According to the IRS, your move needs to pass two "tests" in order to qualify for the deduction.
First, the "time test." If you move to a new location and work 39 weeks in the first 12 months following the move, you qualify. In other words, since there are 52 weeks in a year, you have up to 13 weeks after you move to find and start a new job.
Also, your move must pass the "distance test." Your new job must be at least 50 miles further from your old house than your old job was. In other words, you can't just move 20 miles away because you got a new job and take the moving expenses ...Continue Reading.