Abstract The article focuses on a discussion on ramifications of tax deductibility of a visiting professor's travel expenses as discussed by researcher Allen Ford. The article deals extensively with the tax implications during the professor's stay; however, an addendum is needed for the professor who decides to remain permanently in the position, especially in light of the number of professors so inclined. The two tax questions facing the professor in a decision to stay or even to move to a new position are the taxability of any gain on the sale of the residence at the former location and the availability of a moving expense deduction. Under section 1034, gain from the sale of a taxpayer's principal residence is not recognized, provided certain conditions are met. Regulation 1.1034-1(c)(3) (i) states that the mere fact that property is, or has been, rented out is not determinative that such property is not used by the taxpayer as his principal residence. In the case where a taxpayer uses more than one property as a residence, the determination of whether property is used by the taxpayer as his principal residence depends upon all facts and circumstances in each case.
James R. Hasselback (Thu,) studied this question.