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Temporary Job Assignments
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Fellowship deduction

I have a similar situation to the ones listed here:

I currently work in texas, and will be doing a one year assignment in PA. When finished I will be returning to a different city in Texas.

I have a job in that city, and will be recieving a stipend when I am in PA. My income from the stipend will be greater than the income in PA.

Not sure if it factors in, but I own a home in my current city, and will be renting it out.

Can I claim the deduction in this circumstance as is?
Do I need to establish a physical connection with the other location (rent a storage unit, or something else)?

I'd appreciate any advice. Obviously this would be a very valuable deduction if I can qualify.

Zip Code: 76502

Re: Fellowship deduction

I'm not sure you'll qualify for this generous deduction. The rule is Metropolitan Area specific. So if you live and work in one city in Texas, then move to PA for a year or less to work, and intend to return to another city in TX that is more than a few hour drive from the first city, I don't think you meet the guidelines for this deduction.

An exception would be if you were living in Dallas, and then will be moving to Ft. Worth. Maybe San Antonio and Austin might even qualify.

Zip Code: 01801

Re: Fellowship deduction

The areas are not geographically close. I live in Temple, I will be moving to Lubbock.

Is there a way to establish Lubbock as my tax home before I move to PA?

For example, if I rented a storage unit in Lubbock, and began receiving income from the hospital in Lubbock before I began working in PA for a year, could it be seen as a return to Lubbock as my tax home? (throughout this time, the lubbock income would be greater than the PA income).

Zip Code: 76502