Generally, you may deduct casualty and theft losses relating to your home, household items, and vehicles on your federal income tax return if the loss is caused by a federally declared disaster declared by the President. You may not deduct casualty and theft losses covered by insurance, unless you file a timely claim for reimbursement and you reduce the loss by the amount of any reimbursement or expected reimbursement.
Disaster Area Losses – A federally declared disaster is a disaster that occurred in an area declared by the President to be eligible for federal assistance under the Robert T. Stafford Disaster Relief and Emergency Assistance Act. It includes a major disaster or emergency declaration under the Act. See See the TurboTax FAQ: What if I have property that was lost or damaged (a casualty loss)?, for more information.
If your property is personal-use property or isn't completely destroyed, the amount of your casualty loss is the lesser of:
TurboTax will let you explore itemized deductions to see if it is right for your situation.
- Type "casualty loss" in your program's search box.
- Select the "Jump to" link in the search results.
- Follow the onscreen instructions.
[Edited 2-10-2020|10:15 am PST]
**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
