Consumption and Real Estate
I lost my business in fire this past year. How do I show this when filing my tax return?
Question : I lost my business in fire this past year. How do I show this when filing my tax return?
My business suffered a total loss in fire. Insurance was just enough to pay off lease purchase contract with no money to cover contents lost. How do I show the loss on my taxes?
business contents insurance
Best answer:
Answer by Yorky
Casualty loss. You can deduct your net lost. The burden of establishing what this is falls on you. If there is sufficient money involved, it might pay to hire a public adjuster to determine what your loss is.
no doubt your sch C will show a loss
and this was a casualty that you need to determine how much your loss was, the insurance probably did not cover all your investment
you need to get the information on the contents etc, original price, depreciation, if any, and the value in the fire—0, the determine how much you can write off as loss