@Cheryl9933
If this was clearly theft of personal property (not part of a business you run) then the deduction was removed by the 2017 tax law changes.
(It would be interesting to think about the tax position where you thought you were engaging in a legitimate business arrangement, but the other person intended it to be theft all along. If you believed it was a legitimate business arrangement, would you be able to consider it a deductible bad debt? That would be a matter for a CPA or enrolled agent — an accountant specifically admitted to practice before the IRS. For this amount of money, you might want a professional consultation.)
