If the shop is for a business, you would include the casualty loss, including the tree/stump removal, with your business expenses prorating as necessary if it's your designated home office.
Basically trees and stumps clean up, damage, removal, count as casualty loss if they were the result of a storm, accident etc but are not deductible if you just want to remove the tree.
Storm damage is considered a casualty loss.
Here's how to enter a casualty loss
- Go to the Federal Taxes
- Deductions and Credits
- Click “I’ll choose what I work on”
- Scroll down to Deductions and Credits,
- Click start across from Casualties and Thefts
A personal Casualty loss is first reported on Form 4684 (Casualties and Thefts). Personal losses are subject to a $100 subtraction (Line 11) and a subtraction of 10% of your Adjusted Gross Income ( Line 17) on Form 4684 because it is a personal loss. Your loss amount then goes to line 20 of your Itemized Deductions Schedule A
If your standard deduction is higher than your Schedule A (Itemized deductions), you will use the standard deduction and no additional loss will be allowed TurboTax will default to the higher deduction
This year the standard deduction for :
- Single or Married Filing Separate - $6,300
- Married Filing Jointly or Qualifying Widow(er) - $12,600
- Head of Household - $9,250