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March 28, 2023
Question

Stolen Asset

  • March 28, 2023
  • 1 reply
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A business asset (enclosed trailer) was purchased in 2022 and about a month later it was stolen.  How do I properly record the purchase and loss (due to theft) when filing taxes for a self-employed business?

1 reply

March 28, 2023

any insurance?. the IRS will not allow you to deduct any portion of the loss covered by insurance.   other than that you can use form 4684 section B to report a business casualty loss. do not enter it on schedule C. 

it's under the deductions and credits tab - other deductions and credits - casualty and thefts

if entered correctly you should see the loss on schedule 1 line 4  with an indication form 4684