Form 3903

AAA

DEFINITION of 'Form 3903 '

A tax form distributed by the Internal Revenue Service (IRS) and used by taxpayers to deduct moving expenses related to taking a new job. If a taxpayer has moved more than once for a job, then a separate Form 3903 is used for each qualifying move. Reasonable moving expenses, such as the cost of hotels visited while moving, can be deducted.




INVESTOPEDIA EXPLAINS 'Form 3903 '

In order to deduct moving expenses the new workplace must meet both a distance and a time test. The new place of employment must be at least 50 miles farther from the old residence than the old workplace was. The taxpayer must also work full time at the new job for at least 39 weeks in the year after the move unless disability, transfer or termination change the taxpayer's employment status.


Guidance for Form 3903 is found in IRS Publication 521. The form is filed in conjunction with Form 1040 or Form 1040R.


Members of the armed forces do not have to meet the distance and time requirements that other taxpayers are required to meet in order to claim expenses. In addition, retirees or survivors who move to a new home in the U.S. only have to meet the distance requirement if the taxpayer's old home and old job were outside the country

RELATED TERMS
  1. Deduction

    Any item or expenditure subtracted from gross income to reduce ...
  2. Tax Return

    1. The tax form or forms used to file income taxes with the Internal ...
  3. Internal Revenue Service - IRS

    A United States government agency that is responsible for the ...
  4. 1040 Form

    The standard Internal Revenue Service (IRS) form that individuals ...
  5. Section 7702

    The section of the United States Internal Revenue Code that defines ...
  6. Proof of Charitable Contributions

    Substantiation required by the Internal Revenue Service for a ...
Related Articles
  1. Entrepreneurship

    10 Tax Benefits For The Self-Employed

    Running your own business has both personal and financial perks.
  2. Taxes

    An Overview Of Itemized Deductions

    Not taking the standard deduction this year could save you hundreds of dollars.
  3. Taxes

    Simple Last-Minute Tax Tips

    A little preparation and organization can take the stress out of last-minute tax filing.
  4. Taxes

    Tax Deductions You May Be Missing

    Knowing the tax deductions you're entitled to can make or break your bank account.
  5. Taxes

    5 Tax Credits You Shouldn't Miss

    If you're not taking advantage of these deductions, you could be missing out on tax savings.
  6. Taxes

    10 Most Overlooked Tax Deductions

    The receipts you cram into your wallet could be replaced with cash come tax season.
  7. Taxes

    Which Is Better? Tax Preparer Or Tax Software

    Every taxpayer – and every year – is different, so here are four factors to help you decide whether a tax pro or software is best for you.
  8. Taxes

    7 Commonly Overlooked Tax Deductions

    Don't pay more taxes than you have to because you've missed taking legitimate tax deductions. Here are just a few you may have overlooked.
  9. Taxes

    Filling Out Form 4562: Investopedia Explains

    Step-by-step, how to fill out the depreciation and amortization form for your business tax return.
  10. Mutual Funds & ETFs

    4 Tax-Free Muni Bond ETFs to Consider

    Tax free municipal bond ETFs are an excellent way to build wealth slowly. Here are 4 you should consider.

You May Also Like

Hot Definitions
  1. Efficiency Ratio

    Ratios that are typically used to analyze how well a company uses its assets and liabilities internally. Efficiency Ratios ...
  2. Fixed Cost

    A cost that does not change with an increase or decrease in the amount of goods or services produced. Fixed costs are expenses ...
  3. Subsidy

    A benefit given by the government to groups or individuals usually in the form of a cash payment or tax reduction. The subsidy ...
  4. Sunk Cost

    A cost that has already been incurred and thus cannot be recovered. A sunk cost differs from other, future costs that a business ...
  5. Technical Skills

    1. The knowledge and abilities needed to accomplish mathematical, engineering, scientific or computer-related duties, as ...
  6. Prepaid Expense

    A type of asset that arises on a balance sheet as a result of business making payments for goods and services to be received ...
Trading Center