NY to FL Working In NJ - Business Travel, Tax Home

  • Thread starter Kenneth G. Jarvis, CPA
  • Start date

K

Kenneth G. Jarvis, CPA

Taxpayer accepts an offer for a new job in Florida. When
taxpayer gets to Florida, future Florida employer changes
their mind decides not to give taxpayer job. Taxpayer has
already spent thousands on relocating to Florida and is now
unable to find a job with comparative compensation package.
Another slap in the face is that the moving expense
adjustment is not allowed since both fail the "Place Test".
After relocating to Florida, Taxpayer accepts a job in NJ.
Spouse is staying in FL and flies to NJ frequently to visit
Taxpayer. Taxpayer maintains an apartment in NJ.

Questions
1. Since he has no regular job in Florida, can his tax home
be Florida while working in NJ? Or is his tax home
considered to now be NJ? My gut feeling is that his tax
home is now NJ.

2. If the taxpayer's tax home is FL and has no intention of
staying in NJ for 1 year or more, can the taxpayers expenses
(i.e, apartment) incurred in NJ be considered Business
Travel.

3. Who defines Temporary. Employer, Employee, or both?

4. If the taxpayer winds up working in NJ for 1 year or
more, can the first 364 days be considered Business Travel
Expenses. On the 365 day and after, expenses would be
nondeductible.

Any input would be greatly appreciated. Thanks in advance.

Best Regards,
Ken
 
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