Hurricane IDA - Losses and Deductibility

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I have been trying to find an answer to my questions but up until now have been unable to.

Hurricane Ida caused more than an insignificant amount of damage to our home - we needed a new roof, fence, and almost a total replacement to our gutters/soffit/fascia and downspouts. After that, we had some minor repairs we need to take care of.

My first question is that I think I remember reading somewhere that I can take the standard deduction and then ON TOP OF THAT add my casualty loss (form 4684) that was not reimbursed by insurance. What are the steps I need to follow in order to do this if, in fact, my memory is correct? My policy has a 5% hurricane deductible so it is not an insignificant amount of money.

In addition to the casualty loss sustained, I am wondering if we may deduct the loss of use of our home that was not reimbursed by our homeowners' insurance policy? If this is deductible, where would this be entered?

tmunozAnswer

Level 13

Yes, if you were in a federally declared disaster area, you can deduct your total loss (minus $500 and any amount covered by insurance) along with your usual Standard Deduction, whether you amend 2020 or file as usual for tax year 2021. This means you’ll be able to claim non-reimbursed losses over $500 without having to itemize deductions on your taxes. To enter this information:

Please click on Federal on the left menu bar
Then select Deductions and Credits from the top
Scroll down to Other Deductions and Credits and click on Show More
For Disasters, theft, and other property loss or damage click on Start or Revisit

This TurboTax Help article has additional information and may answer additional questions. Help article disaster relief

Here is a link to the IRS site with information for Tax Relief in Disaster Situations There are multiple entries for Hurricane Ida.

Just to clarify, when you ask about deducting the loss of use for your home, is this money you had to pay to stay elsewhere? Or do you rent out part of the home?

tmunozAnswer

Level 13

Please click on Federal on the left menu bar
Then select Deductions and Credits from the top
Scroll down to Other Deductions and Credits and click on Show More
For Disasters, theft, and other property loss or damage click on Start or Revisit