Tax write off for car accident

[kevin19801980]

I was in a car accident with someone who did not have insurance. He caused about $10,000 in damage to the rental I was driving. My insurance wouldn't cover the whole amount so I'm left paying $8,500 to the rental company personally.  I intend to write the $8,500 off as a business expense. My question is do I write it off in the tax year in which I am giving the bill from the rental company, or the tax year in which I actually  pay the $8,500 to the rental company

[Bsch4477]

Assuming that you are self employed and used the car for your business and you are on a cash basis, deduct the expense in the year you paid it. 

[Mike9241]

if you are a w-2 employee, you can't deduct the loss.