With Hurricane Gustav making land fall and more storms to come, the IRS is keeping a watchful eye on the damage and encouraging taxpayers in vulnerable areas to protect their financial records. To keep an eye on the developing tax relief options, visit www.IRS.gov.
For those whom were affected by Hurricanes Katrina, Rita and Wilma, the Housing and Economic Act of 2008 offers a new option to homeowners who previously claimed a casualty loss deduction. You can amend last year’s Federal tax return to report current losses. (In cases of refunds, this method can deliver a refund generally within 45 days.) The other option is to report the losses on your current tax year Federal return. Be aware that you cannot deduct losses that are covered by insurance or emergency aid assistance. Click here for tax FAQs for Hurricane Victims.
Amending your tax return is free when you prepare an e-file your taxes online at TaxBrain.com.
For more information tax and financial relief options, visit TaxBrain's TaxCenter.