Moving Expenses - Self Employed

[Max W]

Last year a client moved from CA to NY.  He is in business as a financial consultant and thinks NY is a better location for the work he does.

It seems he should be able to deduct most of his moving expenses, including meals n the road (4 days).   There is one large expense I am concerned about.

He had to pay broker's fees to rent an apartment.   Would this be deductible?

TIA

[scottmcfly]

None of those expenses are ordinary and necessary in relation to being a financial consultant.  And moving expenses were eliminated by TCJA so my opinion is no. Apartment broker fee is a personal expense.

[DANRVAN]

4 hours ago, scottmcfly said:

None of those expenses are ordinary and necessary in relation to being a financial consultant.  And moving expenses were eliminated by TCJA so my opinion is no. Apartment broker fee is a personal expense.

Agree, moving expenses for self-employed would have been deducted on form 3903; suspended by TCJA.  Broker fee is not a moving expense.

[Max W]

Maybe, I didn't express this fully.  He can certainly deduct the moving of his business office furniture and equipment to the new location.  The personal stuff, no.

Some of his equipment had to be transported in his vehicle, which is also used for business, so the mileage/gas, lodging can also be deducted.

[grandmabee]

I agree he can move his OFFICE but not personal.  no on the broker fee for apartment rental.  IF he has OIH he can  deduct the same %.

I am assuming he is a Schedule C filer and not W-2.

 

[mircpa]

Is he not entitled for moving expenses deduction even though his sole intention of move was for better livelihood which is directly reflected in schedule C ?

[GingerM]

"He had to pay broker's fees to rent an apartment.   Would this be deductible?"

Is his office in his home? If yes, then a portion of the broker fee may be deductible.

[Max W]

4 hours ago, GingerM said:

"He had to pay broker's fees to rent an apartment.   Would this be deductible?"

Is his office in his home? If yes, then a portion of the broker fee may be deductible.

Good point.