Save hundreds or even thousands of dollars. If you move at least 40 km (25 miles) closer to a new place of work, moving expenses are deductible at tax time from new-work earnings, so keep all your receipts. For travel expenses only, you don't need to keep receipts if you wish to use a simplified method for travel (per kilometre) and meals enroute, rather than calculating your actual expenses. 

You do not have to enclose your receipts at tax time, but keep all your receipts in case of a future audit.

If you haven't resettled yet because you have to sell your home first, your intentions must be to do so as quickly as possible. The move generally has to be within Canada, and one of the following conditions has to be met:

- You've been relocated by your firm. 

- You've started your first or new job or, if you haven't, you're looking for work and before long are hired. 

- You will be carrying on a business, in or outside your home.

A tax refund of 40%+

Bob and Cindy sold their Vancouver home and moved to Peterborough three years ago where they rented an apartment and soon found employment. As Bob was in a higher tax bracket, it was better taxwise for him to deduct their moving costs, plus real estate fee, legal fee, mortgage interest penalty, utility hook-ups and disconnections costs, replacing auto permits and driving licences, etc., totalling over $12,000. The $5,000 refund certainly came in handy.

Again, a refund of 40%+

Recently, Bob's company transferred him to Toronto, so they moved nearby. Cindy decided to start a home business. They are entitled to claim moving expenses in the year of the move, and if the moving expenses that they paid are more than the income earned at the new location in the year of the move, either Bob or Cindy can deduct any unused part of those expenses from employment or self-employment income earned at the new location in the following years. Also, if they pay expenses after the year of the move, they may be able to claim them on either one's return for the year they pay them. They may carry forward unused amounts until they have enough eligible income to claim them. 

Bob's employer paid for a portion of the bills, reimbursing him for some of the non-deductible costs.  If your employer is paying for some of the moving expenses, obtain the latest Employers' Guide - Taxable Benefits (T4130) to learn what expenses are best paid by your employer to benefit you most taxwise. Taxable benefits are taxable to you. Nontaxable benefits are not. Expenses that are nontaxable benefits are listed in the Guide. Where possible, arrange for your employer to first 
reimburse you for the nondeductible moving costs listed on Form T1-M that are listed as nontaxable benefits in the Employers' Guide, such as the cost of househunting trips to the new location.

You have to complete Form T1-M

Call the Forms Department of your nearest CRA office and ask for the latest Form T1-M, or you can download or order it and any other forms or publications, at www.cra.gc.ca/forms. Form T1-M has all the information you need, as well as data for qualifying post-secondary-education students. Read Line 219 in the General Income Tax and Benefits Guide before completing Form T1-M.

How to request a change to your return

If you need to make any change to a return that has not yet been processed by the CRA, do not file another return for that year. You have to wait until you have received your Notice of Assessment before requesting any change to a return. You can now make some changes yourself to your return for the current and previous two tax years online. For more information on this Internet service, visit www.cra.gc.ca and select the My Account option under the Individuals heading. 

You can request a change to your return for any year relating to tax years ending in any of the ten calendar years before the year you make the request. For example, a request made in 2008 must relate to the 1998 or a subsequent tax year to be considered. If you need to make a change, do not file an amended return for that year.

If you didn't claim for eligible moving expenses for any year (refer to the Form T1-M for a list of allowable expenses), you can claim for expenses incurred as far back as ten years, by mailing a completed Form T1-ADJ with the applicable moving receipts and copies of related documents to the Canada Revenue Agency's Tax Services Office in your district. If moving receipts are unavailable, but your expenses are reasonable, at their discretion they may consider your request. But only attempt a moving-expenses claim if you're sure that your prior returns were done accurately, or you may be in for an unpleasant surprise.