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Should I report check fraud?

 
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2 Replies

Should I report check fraud?

Please elaborate with details. How do circumstances potentially affect your tax return? Is this a Business, or Personal matter?

RobertB4444
Expert Alumni

Should I report check fraud?

The IRS allows a deduction for theft and casualty or disaster losses on your tax return.  It's not a great deduction.  In order to take it the loss must first be bigger than 10% of your income.  Whatever amount exceeds that 10% is deductible on your return.

 

So, to answer your question, you should report check fraud on your tax return if it resulted in a loss for you greater than 10% of your income for the year (after you adjust for any insurance reimbursement).

 

It gets more complicated than that, too.  Here is the IRS article that discusses it.

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