I've had to live outside/elsewhere since my house was gutted because of flooding from Hurricane Florence. How can I deduct the living expenses and storage expenses?

[AlanT · Accepted solution]

Unfortunately, you cannot.

A casualty loss deduction is limited to property losses, specifically the decline in value of the property due to the casualty. Ancillary costs are not deductible. Non-deductible ancillary costs would include items such as -

• temporary lodging,
• generators,
• improvements to prevent future casualties
• clean up costs except to measure the decline in value,
• rental cars after an auto accident, etc.