Deductions & credits

The Form to report casualty losses to the IRS is Form 4684. It appears that this form is ready for e-file.  Make sure to run all updates to your TurboTax program.  

You can check the availability of forms by clicking here: When will my individual tax forms be available in TurboTax?

You can enter your casualty loss for actual damages in the Deductions and Credits section of TurboTax using the instructions provided below (This information will flow to your Form 4684).

If you are using TurboTax Desktop, you will:

1. Click on the "Deductions & Credits" tab on the gray bar across the top of your TurboTax screen
2. Click on "I'll choose what I work on" 
3. Scroll down to "Casualties and Thefts" 
4. Click on "Start"
5. Click on "Add a Casualty or Theft"
6. Enter your information on the follow-up screens

If you are using TurboTax Online you will:

1. Continue your tax return
2. Click on "Deductions & Credits" in your left panel
3. Scroll down to "Other Deductions and Credits"
4. Click on the (down-facing) caret to the right of "Other Deductions and Credits"
5. Scroll down to "Disasters, Theft, and other property loss or damage"
6. Click on "Start"
7. Enter your information on the follow-up screens

Note:

• Your actual property loss: The IRS requires you to use the lesser of your property’s tax basis or the decrease in fair market value to determine the deductible amount of your casualty loss. In most cases, your tax basis is equal to the amount that you originally paid for your property.
• Deductible property loss: Once you have determined your actual loss, you must then reduce it by $100. This $100 reduction is applied to each separate casualty event.
• if the casualty loss is not the result of a federally declared disaster, you must itemize your deductions to claim the loss.
• President Biden authorized federal assistance to disaster survivors to help aid in their recovery from Hurricane Beryl.
   

Click here for Form 4684.

Click here for instructions to Form 4684.

Click here for "About Casualty Deduction for Federal Income Tax"

Click here for "Uncle Sam to the Rescue"

Click here for "Tax Benefits Available for Victims of Natural Disaster.