I was cut off one day. I swerved to avoid them and hit a pole. I was the only one in the car, and I had no injuries except for a little soreness for a day. No one else was hurt. Insurance covered all but $100 of my hospital trip when I went to get checked out just in case.
It was a total loss. I didn't have full coverage, so I didn't get any payment for the vehicle.
The only reason I'm asking is because the accident report is stopping me from filing free, and I don't want to waste $40 on buying the deluxe edition of Turbotax if I don't have to, considering my only form of income is my job.
Here's what's showing up.
Your return is reporting a net qualified disaster loss without itemizing deductions, and that's just one of the reasons the IRS requires you to file Form 1040.
Free Edition only covers simple tax situations (1040EZ/1040A)
I'm not sure what losing a car has to do with taxes anyway. I just reported the accident because it asked, not because I was trying to get a deduction out of it.
If you are not trying to deduct a casualty loss there is no reason at all to put anything about your car accident on your tax return and no reason to upgrade from Free Edition. Unless you are itemizing any other deductions such as mortgage interest, it is unlikely your car loss could affect your tax return. Here is some information to help you understand.
CASUALTY LOSS
It is difficult to claim a casualty loss because you have to meet a tough threshhold. Only the amount of a casualty loss that is OVER 10% of your adjusted gross income can be counted toward your itemized deductions, and even then you must subtract $100 from that amount. If your loss was covered by insurance, it is very unlikely that the amount of your deductible would be enough to count as a deduction. If you want to enter your casualty loss, go to the Federal>Deductions and Credits> Other Deductions and Credits>Casualties and Thefts.
https://ttlc.intuit.com/questions/1901178-casualty-and-theft-losses
STANDARD DEDUCTION
Your itemized deductions have to be more than your standard deduction before you will see a change in your tax owed or tax refund. The deductions you enter do not necessarily count “dollar for dollar;” many of them are subject to meeting tough thresholds—medical expenses, job-related expenses, casualty and theft losses, for example, must meet thresholds that are pretty hard to reach. The software program uses all the IRS rules that apply to the expenses you enter, and it tells you if you have enough to use your itemized deductions or if using the standard deduction is more advantageous for you. Here are the Standard Deductions for 2017
Your standard deduction lowers your taxable income. It is not a refund
2017 Standard Deductions
Single $6350 (65 or older + $1550)
Married Filing Separately $6350 (65 or older + $1250)
Married Filing Jointly $12,700 (65 or older + $1250@)
Head of Household $9350 (65 or older + $1550)
If you are not trying to deduct a casualty loss there is no reason at all to put anything about your car accident on your tax return and no reason to upgrade from Free Edition. Unless you are itemizing any other deductions such as mortgage interest, it is unlikely your car loss could affect your tax return. Here is some information to help you understand.
CASUALTY LOSS
It is difficult to claim a casualty loss because you have to meet a tough threshhold. Only the amount of a casualty loss that is OVER 10% of your adjusted gross income can be counted toward your itemized deductions, and even then you must subtract $100 from that amount. If your loss was covered by insurance, it is very unlikely that the amount of your deductible would be enough to count as a deduction. If you want to enter your casualty loss, go to the Federal>Deductions and Credits> Other Deductions and Credits>Casualties and Thefts.
https://ttlc.intuit.com/questions/1901178-casualty-and-theft-losses
STANDARD DEDUCTION
Your itemized deductions have to be more than your standard deduction before you will see a change in your tax owed or tax refund. The deductions you enter do not necessarily count “dollar for dollar;” many of them are subject to meeting tough thresholds—medical expenses, job-related expenses, casualty and theft losses, for example, must meet thresholds that are pretty hard to reach. The software program uses all the IRS rules that apply to the expenses you enter, and it tells you if you have enough to use your itemized deductions or if using the standard deduction is more advantageous for you. Here are the Standard Deductions for 2017
Your standard deduction lowers your taxable income. It is not a refund
2017 Standard Deductions
Single $6350 (65 or older + $1550)
Married Filing Separately $6350 (65 or older + $1250)
Married Filing Jointly $12,700 (65 or older + $1250@)
Head of Household $9350 (65 or older + $1550)