HR 5863

[RJB5033]

1. TT is scheduled to update for tax year 2024 form 4684 to accommodate HR5863 (passed into law by former president Biden) on 2/20/25.  This will allow unreimbursed losses to be added on top of the normal standard deduction.  My question is:  what about prior-year losses incurred (for Hurricane Ian, for example).  Will TT update prior-year TT software to do the same thing if filing an amended return?

[AmyC]

Yes, amended returns are being changed to accommodate the retroactive law. Each casualty has a $500 floor and the remainder can be added to the standard deduction or to itemized deductions. I do not have a date for that availability. The law allows a year to file for any affected year - back to 2019.