casualty loss


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casualty loss

n. in taxation, loss due to damage which qualifies for a casualty loss tax deduction. It must be caused by a sudden, unexpected or unusual occurrence such as a storm, flood, fire, shipwreck, or earthquake, but would not include gradual damage from water seepage or erosion.

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* The deduction for an individual's personal casualty loss of property not connected with (1) a trade or business or (2) a transaction entered into for profit arising after Dec.
Through its restoration business, the company provides restoration and construction services for commercial, industrial, marine, residential and institutional properties that have suffered catastrophic or other casualty loss as a result of, among other man-made and natural disasters, fires, earthquakes and hurricanes.
At a press conference, Bureau of Internal Revenue (BIR) Commissioner Kim Henares said establishment owners must meet certain conditions to be able to avail of casualty loss.
Casualty loss reserves also are subject to continuing pressure from medical inflation and potential adverse litigation trends."
Among them, the casualty loss is only deductible if it exceeds 10 percent of the individual's adjusted gross income."
It is possible that at that point the IRS's appetite for aggressive property/ casualty loss reserve audits will begin to diminish.
Taxpayers must take consistent positions in defining a unit of property under the proposed tangibles regulations and under the casualty loss rules of section 165.
The Greens then claimed a casualty loss on their tax return for the judgment they couldn't recover.
VITA and TCE volunteers are generally not trained to compute Casualty Loss deductions or to complete amended returns for prior years.
A casualty loss is defined as damage, destruction, or loss of property (real or personal) resulting from a qualified identifiable event, such as a hurricane, flood, or earthquake.
For some people, the word "disaster" evokes visions of horrific destruction, while others--like us--think "casualty loss deductions." However, be cautious: In some situations, payments on replacement insurance and significantly high-content coverage can lead to taxable gains if they exceed the taxpayer's basis in the damaged property.
Gain better insight from your property and casualty loss data.