Preparing for Tax Season After A Disaster Strikes

In light of the many disaster’s that we’ve seen in 2017 we wanted to help those affected prepare for tax season – this will also help you be better prepared for when the next disaster might hit.

  • By far the most important point is to keep an up to date inventory of your assets. This is so important that the IRS has created a workbook you can use to keep a detailed inventory, see Publication 584.

  • Make sure your inventory records are stored securely – both in a paper form and in electronic format, store in a cloud based service so you can access it anywhere.

  • Make sure your tax preparer understands that you are considering a casualty loss on your taxes – generally they will charge more for this preparation as it requires more detailed work on your behalf.

  • The SBA offers low interest loans to homeowners, renters and businesses of all sizes to repair or replace real estate, personal property, equipment and other assets that have been damaged or destroyed in a declared disaster.

As with nearly every tax topic, the IRS has created a detailed guide intended to help you, Publication 2194. Having good records not only helps with taxes but also insurance claims – you never know when you’ll need them so take the time now to protect your assets!