Tax Talk Tuesdays: Disaster Relief under the Internal Revenue Code (Feb. 5, 2019)

Disaster Relief Under the Internal Revenue Code: This tip is about the income tax implications of a catastrophic disaster, starting with the IRS’s help with reconstruction of any lost tax records and suspension of pending deadlines (if the disaster is federally declared by the president). If a taxpayer has a casualty loss, a taxpayer can deduct the loss to the point that it exceeds $100 plus 10% of their income. Moreover, if a taxpayer has a casualty gain, they won’t have to include the gain in income if they reinvest all proceeds in replacement property