I have trading losses from FTX.US for 2022. I know the amount of the losses but cannot access my activity. How should I report the losses?

Since you lost cash, it would not be a capital loss.

This probably meets the definition of an investment Ponzi scheme loss as outlined in IRS Revenue Procedure 2009-20 because lead figure(s) of FTX were “charged by indictment or information (not withdrawn or dismissed) under state or federal law with the commission of fraud, embezzlement or a similar crime that, if proven, would meet the definition of theft ….”

You can use the safe harbor procedure outlined in Rev. Proc. 2009-20.

Here’s what to do in TurboTax:

1. Type casualty loss in Search (magnifying glass) in the upper right
2. Tap Jump to casualty loss
3. On “Casualties and Thefts” select YES
4. On “Casualty or Theft Event” enter a description and date. Under Property Type choose Income Producing Property (e.g. Business property, Investment property)
5. Complete all the screens.

Under the safe harbor rule, you can claim (a) 95 percent, for a qualified investor that does not pursue any potential third-party recovery; or (b) 75 percent, for a qualified investor that is pursuing or intends to pursue any potential third-party recovery.