Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. on december 12, 2020, at the request of his employ

On December 12, 2020, at the request of his employer, Mr. Sol Gudman moves from...

90.2K

Verified Solution

Question

Accounting

On December 12, 2020, at the request of his employer, Mr. Sol Gudman moves from Moncton to Montreal. He has always lived in a rented apartment and will continue to do so in Montreal. The total cost of the actual move, including the costs of moving his personal possessions, was $6,922. In addition he spent $2,461 on a visit to Montreal to find suitable accommodation. He also had to pay $1,363 as a penalty to cancel the lease on his Moncton apartment. During 2020, his salary was $64,000 of which $2,136 was earned from his new work location in Montreal. His employer will reimburse him $5,997 for his moving costs in 2020.

Mr. Gudman claims the maximum amount as a moving expense when calculating his net income for tax purposes in 2020. What amount of his moving expenses will he have available to carry forward?

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students