If you charge state-to-state moving expenses on your credit card between 90 - 120 days before filing bankruptcy (at the time not knowing a BK is imminent), does anyone know if you can still claim the moving expenses on your federal income taxes?
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Moving expenses and their deductibility are clearly broken down by the IRS. Go to IRS.gov. Moving expenses have to be job related and have certain restrictions even then in order to be deductible for the year of the move. If they are reimbursed by your employer, you certainly cannot deduct them._________________________________________
Filed 5 Year Chapter 13: April 2002
Early Buy-Out: April 2006
Discharge: August 2006
"A credit card is a snake in your pocket" -
My sister had already checked the IRS site, and meets the qualifications to claim the exemption on her taxes.
However, my question relates more specifically to the BK -- with the charges that were made for the U-Haul, etc, if she included those charges in her BK, would/could it raise flags either with the the BK court or with IRS? Since they are both federal entities, are they somehow entertwined, I guess is what I am trying to ask. Thanks!Comment
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You have a tax law question. You can do either two things to get a correct answer on this one; ask the BK attorney to see if he can answer; many cannot give tax law advice and you may need to consult an expert; if not, call the IRS directly and ask them. She will have to supply her tax return to the attorney/trustee upon filing so that amount will be shown on her return and will also have to be explained as to the credit card expense if it is charged within six months of filing.Originally posted by BarbaraL View Post_________________________________________
Filed 5 Year Chapter 13: April 2002
Early Buy-Out: April 2006
Discharge: August 2006
"A credit card is a snake in your pocket"Comment
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Thank you again for your insight and quick response. She has another attorney consultation scheduled for next week, so hopefully she can get a definite answer then.Comment
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