You can choose to claim the deductions for your losses on either your 2024 or 2025. Because this was declared a major disaster, you may be eligible to claim your losses in addition to the standard deduction instead of having to claim them as an itemized deduction.
In addition to being able to claim your casualty losses on your return for either 2024 or 2025, you are able to take a retirement plan distribution that is not subject to the 10% early withdraw penalty and any disaster relief is not considered taxable income.
You will be able to enter your casualty losses in TurboTax by selecting:
- Deductions and Credits
- Casualties and Thefts under Other Deductions and Credits
- The enter the description, property type and "This event qualifies as a federally declared major disaster loss"
IRS: California wildfire victims qualify for tax relief
**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
