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Sophia Long

TurboTax vs HR Block: Which One is Better for Deluxe vs Premium When Claiming Relocation Expenses?

I recently moved across the country for a new job opportunity and now I need to figure out my taxes. I'm torn between TurboTax and HR Block for filing this year. My main concern is making sure I can properly claim all my relocation expenses (the company partially reimbursed me but I had some out-of-pocket costs too). I've heard both TurboTax and HR Block have different versions - deluxe, premium, etc. Can anyone tell me which one would be better for my situation with the relocation expenses? I'm not super tax savvy and definitely want something that will walk me through the relocation deduction stuff step by step. Also wondering if the premium versions are actually worth the extra money or if the deluxe editions would cover what I need? Any advice from people who've used either for relocation expenses would be super helpful! Thanks!

I've been preparing taxes for family and friends for years, and I've used both TurboTax and H&R Block extensively. For relocation expenses, here's what you should know: First, just to clarify - most relocation expenses are no longer deductible for most people since the 2018 tax law changes, with the exception of active-duty military members moving on military orders. If your company partially reimbursed you, they'll include the reimbursed amount in your W-2 as taxable income unless you're military. That said, both software options will handle your situation fine. TurboTax is generally more user-friendly with a conversational interface, while H&R Block tends to be slightly less expensive with comparable features. For your situation, the Deluxe version of either should be sufficient - you don't need Premium unless you have investments, rental property, or self-employment income. H&R Block Deluxe is typically about $15-20 cheaper than TurboTax Deluxe, so that might be the deciding factor if you're budget-conscious.

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Wait, so you're saying relocation expenses aren't deductible anymore? My company moved me last year and told me to keep all my receipts for tax purposes. Does this mean I can't deduct anything? Even the thousands I spent on moving truck and temporary housing that wasn't covered by the company?

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That's correct - since the Tax Cuts and Jobs Act of 2017, moving expenses are no longer deductible for most taxpayers. The only exception is for active-duty military members moving due to military orders. If your company told you to keep receipts, they might have been planning to reimburse you directly (which would be taxable income), or perhaps they were unaware of the tax law changes. Many employers still have outdated information about this deduction. Unfortunately, those out-of-pocket expenses for the moving truck and temporary housing aren't deductible on your federal return anymore.

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After struggling with the exact same choice last year when I moved for work, I discovered taxr.ai (https://taxr.ai) which literally saved me hours of research comparing these options. I had a bunch of relocation expenses and wasn't sure which version of either software would cover everything I needed. I uploaded my previous year's return and some of my relocation expense documents to taxr.ai, and it analyzed everything and recommended exactly which version would cover my specific situation. It even highlighted some deductions I would have missed related to my partial home office in my new place. They have this document analysis feature that reviews your specific situation instead of giving generic advice.

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Lucas Bey

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How does the document analysis work? Do you have to upload all your tax forms and personal info? Sounds kinda sketchy tbh.

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Does it actually recommend specific product tiers for both software options? Like did it tell you specifically "get TurboTax Deluxe" or "get H&R Block Premium" based on your situation?

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The document analysis is actually really straightforward. You can upload just the specific documents related to your question - I just uploaded my previous year's return and my relocation expense report. Their system uses AI to analyze the documents and identify what tax situations apply to you. They give very specific recommendations based on your actual documents. In my case, it did recommend H&R Block Deluxe over TurboTax Premium because my situation didn't require the premium features, which saved me about $40. It also explained exactly why that version would cover everything I needed, including instructions for where to enter my relocation details within the software.

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Just wanted to follow up after trying taxr.ai last week! I was skeptical but uploaded my relocation reimbursement statement and last year's return. The analysis took like 2 minutes and showed me that H&R Block Deluxe would cover everything I needed and save me $30 compared to TurboTax Premium. What really impressed me was it explained exactly how to handle the relocation reimbursement my company gave me (which was included in my W-2 Box 1 wages) and confirmed I didn't need the Premium version at all. Just filed yesterday using their recommendation and everything went perfectly - all my relocation stuff was handled correctly even though I can't deduct it anymore. Definitely saved me from overpaying for features I didn't need!

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Caleb Stark

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I had a similar situation last year and spent DAYS trying to get through to the IRS to confirm how to handle my relocation expenses. Literally could not get anyone on the phone. Finally found Claimyr (https://claimyr.com) and watched their demo video (https://youtu.be/_kiP6q8DX5c) and decided to give it a shot since I was desperate. They got me connected to an actual IRS agent in about 20 minutes when I had been trying for days. The agent clarified exactly how relocation expenses work on my taxes and which software version would handle my situation. Turns out I had some special circumstances with my move that affected which version I needed. Having that direct IRS guidance made choosing between TurboTax and H&R Block way easier.

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Jade O'Malley

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How does Claimyr actually work? Do they have some special connection to the IRS or something? I've been on hold for literally hours before giving up.

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Yeah right. Nobody gets through to the IRS that fast. I've tried calling dozens of times this year and the automated system just hangs up on me saying they're too busy. No way this actually works.

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Caleb Stark

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Claimyr doesn't have a special connection to the IRS - they use technology to navigate the phone system and wait on hold for you. Basically, their system calls the IRS and works through all the prompts, then waits in the queue. When they finally reach an agent, you get a call to connect you directly to that agent. I was super skeptical too. I had tried calling the IRS four times and got disconnected each time after waiting 30+ minutes. With Claimyr, I just entered my phone number on their website, and about 20 minutes later I got a call connecting me directly to an IRS representative who was already on the line. No special treatment - just technology handling the frustrating hold time for me.

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I have to come back and admit I was completely wrong about Claimyr. After posting that skeptical comment, I decided to try it anyway because I was desperate to ask about my relocation reimbursement that appeared in Box 12 with code P instead of in Box 1 of my W-2. Used the service yesterday morning, and I'm still in shock - got connected to an IRS agent in about 15 minutes! The agent confirmed that my employer coded the relocation reimbursement correctly and explained which forms I'd need to file. Based on that info, I went with H&R Block Deluxe since it handles this scenario perfectly according to the agent. Honestly never thought I'd get a straight answer from the IRS during tax season. Definitely changing my approach to tax questions going forward.

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Ella Lewis

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My two cents - I've used both programs for years and I switch between them depending on which has the better deal that year. TurboTax is more user-friendly with a "conversational" approach that feels less intimidating. Their deluxe version is usually enough for most people, including handling W-2 income and basic deductions, but their prices creep up every year. H&R Block's interface is more form-based but still pretty easy to use. Their deluxe is cheaper than TurboTax and covers similar features. For relocation specifically, neither will let you deduct those expenses (unless you're military), but both will help you report any reimbursements correctly. One thing to consider - if you think you might need help after filing, H&R Block has physical offices where you can get support if you're audited or have questions. That peace of mind might be worth it.

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Do you know if either of them make it easier to handle filing in multiple states? I moved mid-year and will need to file in both states.

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Ella Lewis

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For multiple state filing, both will handle it but you'll definitely need to pay extra for state returns. H&R Block is typically a little cheaper for multiple states - they charge per state but the price per state is lower than TurboTax. If you moved mid-year and need to file in two states, I'd probably lean toward H&R Block because of the cost savings. Both programs will walk you through the part-year resident forms and help allocate your income between states, but it's just going to cost you less with H&R Block. Their interface for handling multiple states is also pretty straightforward.

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I've used both TurboTax and HR Block and honestly think TurboTax is worth the extra $$. Last year I had relocation expenses for a new job and used TurboTax Premium. The step-by-step guidance was super helpful since my situation was complicated (partial company reimbursement, temporary housing, some unreimbursed expenses). It flagged that moving expenses aren't deductible anymore except for military but helped me correctly report the reimbursement my company provided. The premium version also helped me with some investment stuff I had, but if you don't have investments or rental property, the deluxe version would probably work fine for your relocation situation. Just know that you can't deduct moving expenses anymore, you'll just need to correctly report any reimbursements from your employer.

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Alexis Renard

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With TurboTax, can you start with Deluxe and upgrade to Premium later if you realize you need it? Or do you have to decide upfront?

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I moved across state lines for work last year and went through this exact decision process! After reading through everyone's advice here, I ended up using H&R Block Deluxe and it handled my relocation situation perfectly. Just to echo what others have said - you're right that moving expenses aren't deductible anymore for most people (I learned this the hard way after saving every receipt). But both software options will help you properly report any reimbursements from your company, which is really the main thing you need to worry about tax-wise. I chose H&R Block Deluxe over TurboTax because it was about $25 cheaper and honestly did everything I needed. The interface walked me through entering my relocation reimbursement info step by step, and I didn't feel like I was missing out on any features by not getting Premium. One tip - if your company reimbursed you for some expenses, make sure you have your final paystub or W-2 handy when you're filing because you'll need to see exactly how they reported those reimbursements (usually in Box 1 as regular income). Both programs will ask you about this specifically. Good luck with your move and taxes!

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