Tax Question.
 

Hi all, not used this site for a long time. Been in BC for 2 years now. I am hearing conflicting stories about claiming moving expenses from the UK if you already have arranged employment. On one hand I hear you can claim IF you gain PR status before you move to Canada. On the other hand I hear that you can only claim expenses when you actually move from place to place over here.. Im confused as a friend of mine submitted a claim for expenses from the UK and it was OKd...

Any ideas anyone.:confused:

Re: Tax Question.
 

You cannot claim moving expenses from UK to Canada. You can claim for moves within Canada that are job related and are over, I believe, 40km.

Re: Tax Question.
 

At some point or another your friend could well have to repay the deduction for moving expenses from the UK. This would come up when or if their file is audited. When you file a return and get your notice of assessment back this does not mean CRA have accepted what you have filed as correct and have been 'OKd'. Returns get looked at later in the year, anything out of the ordinary may come up then and then get reassessed.

Re: Tax Question.
 

I'll just add that moving expenses are one of the deductions the CRA take a close interest in.

PR or arranged employment is not the issue. To claim moving expenses to/from overseas you must be tax resident in Canada before and after the move.

Re: Tax Question.
 

Thanks guys, there seems to be a lot of people over this side in the same situation confused over this.. Thanks for the help..:thumbsup:

Re: Tax Question.
 

Tell them to read the CRA documentation, then they won't be confused.
http://www.cra-arc.gc.ca/E/pbg/tf/t1-m/t1-m-09e.pdf