Tax Deductions

Move and save on your taxes

If you move more than 40 km for a new job, all your moving expenses — including your real estate broker's commission — could be fully deductible from your income.

40 km

Minimum Required Distance

10 years

Retroactive Claim

100%

Of Expenses Deductible

A Move That Can Really Pay Off

It is increasingly common for individuals to relocate following a new job or transfer. The good news: federal and provincial tax laws provide that all moving expenses can become fully deductible.

The main condition: your new home must bring you at least 40 kilometers closer to your new workplace compared to your old home.

What Expenses Are Deductible?

Among the many eligible expenses are:

  • The real estate broker's commission on selling the former home
  • Transportation and storage costs for belongings
  • Notary fees and land transfer tax (welcome tax)
  • Utility connection and disconnection fees
  • Lease termination fees for the former home
  • Meal and lodging expenses related to the move

A Real Example on the South Shore

Jean and Nicole's Story

Jean and Nicole live in Sainte-Thérèse, on the North Shore. Following a job offer for Jean in Brossard, they decide to sell and move to the South Shore.

  • 📍 Sainte-Thérèse → Brossard (new workplace) = 48 km
  • 📍 Brossard → Brossard (new workplace) = 3 km
  • ✅ Difference: 45 km (≥ 40 km = eligible!)

Jean can deduct all his moving expenses, including his real estate broker's commission, from his income at his new workplace.

Did You Move in Recent Years?

Good news! If you were eligible but failed to claim these deductions, you can request a retroactive refund from the CRA and Revenu Québec, provided no more than 10 years have passed between your move and your claim.

Important Technical Points

  • Expenses paid in years following the move are deductible in the year they are paid
  • Your deduction cannot exceed your income at the new workplace
  • Any unused portion can be carried forward to subsequent years
  • The move must have taken place because of the change in workplace

FREQUENTLY ASKED QUESTIONS

Everything about the 40 km program

Calculate the difference between the distance from old home → new workplace and new home → new workplace. If the difference is 40 km or more, you qualify. Distances are calculated using the shortest driving route.
Yes! The program applies whether the work is full-time or part-time, as long as the move is related to the change in workplace.
No, the move doesn't have to take place the same year, but it must have occurred because of the change in workplace.
Yes! The deduction also applies to individuals who move to operate a business at a new location. Expenses are deductible from business income at the new workplace.

Maximize Your Moving Savings

Whether you're moving to or from the South Shore, I support you with selling, buying and coordinating with your tax specialist to maximize your deductions.

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