Can I claim a non-paid loan by me to another after he declared bankruptcy and I was awarded nothing?

topcat3105 — Thu, 06 Jun 2019 09:22:08 GMT

Amount was for $24,000. No repayments made. Bankruptcy judge did not award me any relief and precluded me from filing a lawsuit for monies loaned. Is there some way to claim this loss of funds on my tax return, either in this year or several years? Big loss for me as a retiree. Help???

Yes, you can claim the lost money as a non business debt....

MargaretL — Thu, 06 Jun 2019 09:22:10 GMT

Yes, you can claim the lost money as a non business debt. A nonbusiness bad debt is reported as a short term capital loss, subject to the $3,000 limit per year, the remaining amount is carried to the future years for you. Here's a data entry:

Federal Taxes
Wages & Income
Investment Income
Stocks, Mutual Funds, Bonds, Other - indicate that you have not received 1099-B from financial institution and select "Uncollectible Debt (Nonbusiness Bad Debt)" as the type of investment, follow the prompts

Note: You will have to upgrade to Turbo Tax Premier to report this...

topic Can I claim a non-paid loan by me to another after he declared bankruptcy and I was awarded nothing? in After you file

Can I claim a non-paid loan by me to another after he declared bankruptcy and I was awarded nothing?

Yes, you can claim the lost money as a non business debt....