How to claim a large disaster casualty loss (qualified federal disaster loss) in the TT program to generate an NOL carryforward ? Using schedule A with SD loses the CF ?

[LindaS5247]

You enter your casualty loss for actual damages in the Deductions and Credits section of TurboTax using the instructions provided below.

If you are using TurboTax Desktop, you will:

1. Click on the "Deductions & Credits" tab on the gray bar across the top of your TurboTax screen
2. Click on "I'll choose what I work on" 
3. Scroll down to "Casualties and Thefts" 
4. Click on "Start"
5. Click on "Add a Casualty or Theft"
6. Enter your information on the follow-up screens

If you are using TurboTax Online you will:

1. Continue your tax return
2. Click on "Deductions & Credits" in your left panel
3. Scroll down to "Other Deductions and Credits"
4. Click on the (down-facing) caret to the right of "Other Deductions and Credits"
5. Scroll down to "Disasters, Theft, and other property loss or damage"
6. Click on "Start"
7. Enter your information on the follow-up screens

Note:

• Your actual property loss: The IRS requires you to use the lesser of your property’s tax basis or the decrease in fair market value to determine the deductible amount of your casualty loss. In most cases, your tax basis is equal to the amount that you originally paid for your property.
• Deductible property loss: Once you have determined your actual loss, you must then reduce it by $100. This $100 reduction is applied to each separate casualty event.
• if the casualty loss is not the result of a federally declared disaster, you must itemize your deductions to claim the loss. 

Click here for "About Casualty Deduction for Federal Income Tax"

Click here for "Uncle Sam to the Rescue"

Click here for "Tax Benefits Available for Victims of Natural Disaster

[Tworth44]

The problem is that Turbo Tax wants me to add the disaster loss to the standard deduction on Schedule A.  That appears to me to lose the carryforward.  The loss was very large due to Hurricane Helene.  There would be a very large carryforward, but it appears to be lost if I put it on Schedule A.  

[LindaS5247]

If you have a qualified disaster loss (Federally declared disaster) you may elect to deduct the loss without itemizing your deductions.

Your net casualty loss doesn't need to exceed 10% of your adjusted gross income to qualify for the deduction, but you would reduce each casualty loss by $500 after any salvage value and any other reimbursement.

When you entered your casualty loss in TurboTax did you indicate it qualified for federally declared disaster? Did you have a FEMA disaster code for your entry?

If your deductions, including your loss deduction, are more than your income, you may have a net operating loss (NOL). You don't have to be in business to have an NOL from a casualty. For more information, refer to Publication 536, Net Operating Losses (NOLs) for Individuals, Estates, and Trusts.

Your TurboTax screens will look something like this:

Click here for Topic no. 515, Casualty, disaster, and theft losses

Click here for About Casualty Deduction for Federal Income Tax

Click here for Uncle Sam to the Rescue