Tax Home Compliance Checklist for Travel Nurses 2026

Tax Home Compliance Checklist for Travel Nurses 2026

Use this comprehensive checklist to verify your tax home compliance and ensure you qualify for tax-free stipends. Check each item to confirm you meet IRS requirements.

Tax Home Requirements Checklist

✅ Permanent Residence

• I maintain a permanent residence (apartment, house, or family home where I’m responsible for expenses)
• I have a lease or own property at my tax home
• I’m listed on utility bills or mortgage at my tax home
• I receive mail at my tax home address
• I keep personal belongings at my tax home
• I return to my tax home regularly between assignments

✅ Duplicate Expenses

• I pay rent or mortgage at my tax home (ongoing expense)
• I pay utilities at my tax home (electric, water, gas, internet)
• I pay for housing at my assignment location
• I maintain expenses at BOTH locations simultaneously
• I have receipts/bank statements proving expenses at tax home
• I have receipts/bank statements proving expenses at assignment

Key Point: You must maintain expenses at both locations. If you sublet your tax home or cancel utilities, you may lose tax home status.

✅ Assignment Characteristics

• My assignment is temporary (typically under 1 year)
• I have a defined end date for my assignment
• I’m not extending contracts indefinitely in the same location
• I move between different assignment locations
• My assignment is away from my tax home (not commuting distance)

✅ Return to Tax Home

• I return to my tax home between assignments
• I spend time at my tax home regularly
• I maintain connection to my tax home community
• I have ties to my tax home (voter registration, driver’s license, etc.)

✅ Documentation

• I keep copies of rent/mortgage payments at tax home
• I keep utility bills from tax home
• I keep receipts from assignment housing
• I document return trips to tax home
• I have assignment contracts with dates
• I maintain an expense log for both locations

Red Flags (Non-Compliance Indicators)

If you check any of these, you may be at risk:

• I’ve been traveling for over 2 years without establishing a new permanent tax home
• I’ve extended multiple contracts in the same city/location
• I don’t pay any expenses at my tax home
• I sublet my tax home apartment/house
• I canceled utilities at my tax home while on assignment
• I only use a family member’s address (without paying expenses there)
• I haven’t returned to my tax home in over 6 months
• My assignment location has become my permanent residence

Common Compliance Questions

Q: How long can I travel before losing my tax home?

A: There’s no fixed time limit, but continuous travel for over 1-2 years without maintaining a tax home may lead the IRS to consider you an “itinerant worker.” If you maintain your tax home (expenses, returns, documentation), you can travel longer.

Q: Can I use my parent’s address as my tax home?

A: Generally, no. You must maintain your own permanent residence and pay expenses there. Simply using an address for mail isn’t sufficient.

Q: What if I can’t afford duplicate expenses?

A: If maintaining expenses at both locations is truly impossible, your stipends may be taxable. Consider:

• Negotiating higher housing stipends
• Choosing more affordable assignment housing
• Consulting a tax professional for your specific situation

Q: Do I need to return home every 13 weeks?

A: There’s no specific frequency requirement, but you should return regularly (e.g., between assignments, for holidays, etc.). The key is maintaining connection to your tax home.

Monthly Compliance Check

Use this monthly checklist while on assignment:

• Paid rent/mortgage at tax home this month
• Paid utilities at tax home this month
• Paid for assignment housing this month
• Documented all expenses (saved receipts/statements)
• Maintained contact with tax home (mail, returns, etc.)

Annual Compliance Review

At year-end, review:

• Total expenses at tax home for the year
• Total expenses at assignment locations for the year
• Number of assignments completed
• Number of times returned to tax home
• Documentation is complete and organized

Using Our Risk Assessment Tool

Take our free Tax Home Risk Assessment to get a personalized risk score based on your specific situation. The tool evaluates:

• Your tax home maintenance
• Duplicate expenses
• Assignment patterns
• Travel duration
• Documentation practices

Based on your answers, you’ll receive:

• A risk score (Low/Medium/High)
• Identified risk factors
• Personalized recommendations
• Links to official IRS resources

When to Consult a Tax Professional

Consult a tax professional specializing in travel nurse taxes if:

• You’re unsure about your tax home status
• You’ve checked any “Red Flags” above
• You’ve been traveling for over 1-2 years
• You’re not maintaining duplicate expenses
• You’ve received an IRS notice
• You’re considering changing your tax home situation

IRS Resources

For official IRS guidance, refer to:

• IRS Publication 463 - Travel, Gift, and Car Expenses
• IRS: Tax Information for Travelers

Action Items

After reviewing this checklist:

1. Identify gaps - Check which items you haven’t completed
2. Take action - Address any red flags or missing requirements
3. Document everything - Start keeping records if you haven’t already
4. Assess risk - Use our Tax Home Risk Assessment Tool
5. Consult professional - If unsure, talk to a travel nurse tax specialist

Conclusion

Maintaining tax home compliance is essential for tax-free stipends. Use this checklist regularly to ensure you meet IRS requirements. Remember:

• ✅ Maintain a permanent residence with ongoing expenses
• ✅ Pay expenses at both tax home AND assignment location
• ✅ Return to your tax home regularly
• ✅ Document everything
• ✅ Keep assignments temporary

Check your compliance now: Tax Home Risk Assessment Tool

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Disclaimer: This checklist is for educational purposes only and is not tax advice. Tax laws are complex and vary by individual circumstances. Always consult with a qualified tax professional for personalized advice.

Related Resources:

• Tax Home Risk Assessment Tool
• Am I Duplicating Expenses Correctly?
• Travel Nurse Tax Guide 2026
• IRS Publication 463