Resigned and Relocated

[DrK22]

I resigned from a teaching position in New York at the end of 2021, sold my apartment in the City and relocated to Florida in June to be closer to my family and help care for my elderly mother. I have not been employed since January 1 although my previous employer had a delayed payment for additional compensation that arrived after that. I purchased a new home and car using the funds from my apartment sale. I do not anticipate being employed for the remainder of this year. Eventually, I hope to set myself up to be self employed but not until 2023. I have no idea what to expect in terms of taxes for 2022. Can you help me to figure out what to expect and how I should be preparing for the next tax season

[maureencpa]

Congratulations on your move to Florida!

There are a few things to prepare for regarding your taxes:

• You will still have to file a New York state tax return to account for the six months that you lived there.
• NO state tax return in Florida!
• Please anticipate and watch our for a W-2 for the additional compensation paid by your prior employer, this income should be recorded on the federal and NY state tax return.
• Please begin calculating the gain on the sale of your apartment.  This will also be on both the state and federal returns.  The following link will take you to some valuable additional information:    https://ttlc.intuit.com/turbotax-support/en-us/help-article/homeowner-tax-credits-deductions/selling...

[DrK22]

What about the purchase of the new home and car in Florida as well as new appliances and a few furnishings? This was all done with funds from the sale of the NYC apartment. I have never had to itemize deductions before. Should I be preparing to do that on my 2022 return in order to reflect all of those costs?

[maureencpa]

The purchase of your new home will possibly provide you with a deduction for home expenses (mortgage interest, property tax)  but will not impact what you report on your tax return as a gain on the sale of your previous home and a car, appliances or furniture will not either.