J.K. Lasser's Small Business Taxes 2018

CHAPTER 17 Casualty and Theft Losses

1. Casualties and Thefts
2. Condemnations and Threats of Condemnation
3. Disaster Losses
4. Deducting Property Insurance and Other Casualty/Theft-Related Items
5. Certain Disaster Victims
6. Disaster Assistance

Alert

At the time this book was completed, Congress was considering important tax changes that could affect 2017 tax returns and planning for 2018. Check the online Supplement in February 2018 at www.jklasser.com or www.barbaraweltman.com to see what changes have been enacted and when they are effective.

Floods in Arkansas and Missouri, straight-line winds in Georgia and Louisiana, fires in California and Tennessee, Hurricane Harvey in Texas and Louisiana, and Hurricane Irma in Florida—these are just some examples of the types of weather-related events that may have done severe damage to your business property in 2017. Terrorist attacks and civil riots are other means of causing damage to business property as are man-made accidents, such as oil spills. If you suffer casualty or theft losses to your business property, you can deduct the losses. You may also suffer a loss through condemnation or a sale under threat of condemnation. Again, the loss is deductible. Certain losses—those from events declared to be federal disasters—may even allow you to recover taxes you have already paid in an earlier year. But if you receive insurance proceeds or other property in return, you may have a gain rather than a loss. The law allows you to postpone ...