Updated: April 2025  |  bremo.io financial guides

Moving for School in Canada — Tax Deductions and Tips

Moving to a new city for university or college is expensive. What many Canadian students don't know is that some of those moving costs are tax-deductible. The CRA allows students to deduct eligible moving expenses — but the rules have specific conditions you need to understand to claim correctly.

This guide covers the student moving expense deduction, what qualifies, and practical tips for making your move as affordable as possible.

Who Can Claim the Moving Expense Deduction?

As a student, you can claim moving expenses if:

• You moved to attend a post-secondary institution (full-time or part-time)
• Your new home is at least 40 km closer to your school than your old home (measured by the shortest public route)
• You have eligible income at your new location to claim the deduction against

Eligible income for students includes scholarships, bursaries, research grants, and employment income earned near school. You cannot deduct moving expenses against your student loan amounts.

What Expenses Are Deductible?

Eligible moving expenses include:

• Transportation and storage costs (truck rentals, professional movers)
• Travel expenses during the move (gas, meals, accommodation for you and your household)
• Temporary living expenses near the new location (up to 15 days of meals and temporary accommodation)
• Costs to cancel a lease at your old residence
• Costs to maintain your old home while you try to sell or sublet it (limited)
• Costs of changing your address on legal documents and replacing your driver's licence

Keep all receipts for these expenses — the CRA may request them.

What Expenses Are Not Deductible?

• Moving back home after the school year ends (unless you're moving back to work)
• Costs of redecorating your new place
• Expenses incurred by friends helping you move
• Mail forwarding services
• Costs of visiting your new city before the move

How to Claim

Report your moving expenses on Form T1-M (Moving Expenses Deduction) and submit it with your tax return. Tax software (like Wealthsimple Tax or TurboTax) will walk you through the form and calculate the deduction automatically.

The deduction reduces your taxable income — it's not a credit, so the savings depend on your marginal tax rate. For students with modest incomes, the savings are smaller, but it's still worth claiming.

Practical Tips for a Cheap Student Move

Time Your Move

Moving rates are lowest on weekdays and outside peak summer/September periods. If you can avoid moving on a long weekend, you'll save on truck rentals and professional movers.

Pack Light

Sell, donate, or leave behind anything you don't actually need at school. Furniture in particular is often cheaper to buy used at your destination than to transport. Check Facebook Marketplace and campus free groups for student furniture at your school city.

Rent a Cargo Van or Small Truck

For most students, a cargo van or small truck rental is more cost-effective than a full moving truck. U-Haul, Penske, and Budget are common options in most Canadian cities.

Use Your Student Network

Many university student unions post free moving boxes on Facebook groups at the end and start of semesters. Connect with incoming or outgoing students at your school city.

Budget for First and Last Month's Rent

If you're renting off-campus, most landlords require first and last month's rent upfront. Budget $1,500–$3,000+ in cities like Toronto or Vancouver. This is often the biggest one-time cost of moving for school.

Student Housing Transition Tips

• Read your lease carefully before signing — understand notice periods, subletting rules, and what utilities are included
• Document the condition of your new apartment with photos the day you move in — this protects your deposit
• Update your address with your bank, OSAP/provincial student aid, the CRA, and your school immediately after moving
• Check if your school's health plan coverage applies at your new location