In Terms of Meeting the Distance Test for Purposes of Deducting

question 111

Multiple Choice

In terms of meeting the distance test for purposes of deducting moving expenses, which of the following statements is correct?

• A)The taxpayer's new job location must be at least 50 miles away from the old job.
• B)The taxpayer's new residence must be at least 50 miles away from the new job.
• C)The taxpayer's new residence must be at least 50 miles away from the old residence.
• D)The taxpayer's new job location must be at least 50 miles farther from the old residence than the old residence was to the old job.
• E)None of these.

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Definitions:

David Ricardo

A British political economist known for his theory on comparative advantage, implying that countries should specialize in and trade goods in which they have a relative efficiency.

Theory Of Rent

A principle explaining how the price and allocation of land and its resources are determined based on their use, productivity, and locational advantages.

Efficiently Allocating

The process of distributing resources in a manner that maximizes the net benefits received from their use.

Long-term Investment

Assets that are held for an extended period, typically over one year, to generate growth, income, or capital gains, such as stocks or real estate.