To deduct a casualty loss such as hail damage, you must itemize your deductions on Schedule A. The amount of your deduction is limited to the amount of the loss that exceeds 10% of your Adjusted Gross Income after a $100 deductible
As an example if you had $10,000 worth of unreimbursed damage , and your Adjusted Gross Income is $50,000, your tax benefit would be as follows.
After deducting $100, you are left with a $9,900 expense which is $4,900 above 10% of your Adjusted Gross Income of $5,000.
Your deduction would therefore be $4,900,
To report a Casualty or Theft loss
· Type casualty loss in the box, top right of your screen, click the magnifying glass
· Click the jump to casualty loss link in the search results
· Follow to prompts and online instructions
