Our builder made a first draw of $360,000. He immediately used the money to invest in his company (bought a truck, excavator, etc.). We are on the hook to repay this money to the bank. The money was withdrawn in 2023. We had to wait until 2024 to file criminal charges since the building contract stipulated construction was to be completed on 9/1/24. Is there a way to use this loss to reduce our tax burden?
