I stupidly was scammed out of $420m due to the grandson scam. It has been reported to the authoritys.Can I deduct this from my taxes?

[rjs]

That's right. An NOL can result from a business loss, OR from a casualty or theft loss, OR from one of the other losses that I listed. The casualty or theft loss does not have to be a business loss. A personal casualty or theft loss can produce an NOL all by itself, without any connection to a business.

[Anonymous]

You can deduct theft losses that aren't reimbursable only in the year you discover your property was stolen. So if it was discovered in 2017, 2016 or 2015, you can claim it for that year on an amended return .   The loss could produce an NOL.   the NOL would need to be carried back. but any remaining NOL could be carried forward. 

I agree with RJS. Nonbusiness Deductions for Form 1045 Schedule A line 6 exclude casualty and theft losses reported on schedule A.  So in effect all casualty losses are treated as if from a trade or business and thus can produce an NOL.