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Deductions & credits
Casualty losses are only allowed if they are due to a federally declared disaster, like a flood or wild fire.
In addition, even under the old rules that were not limited to "declared" disasters, mold and long term damage were never allowable casualty losses because a casualty loss is a sudden, unexpected and unpredictable event. Long term damage due to a slow leak that is not repaired is not a casualty.
‎February 20, 2024
7:47 AM