Although he could not obtain its fair market value after the casualties, Tim decided to repair rather than replace Equipment C. Before considering any deductions because of these casualties, Tim's AGI is $100,000. Tim is a carpenter who owns his own furniture manufacturing business. During the current year, a tornado (a federally declared disaster) damaged several pieces of equipment and destroyed his delivery truck and his personal automobile, which he often kept in the workshop garage. The asset descriptions and related values are as follows: (Click the icon to view the descriptions and values.) Requirement What deductions may Tim take relating to these losses? First complete the first portion of the analysis to determine the net business casualty loss deduction Tim may take. In the following step, determine the personal casualty loss deduction Tim may take relating to the tornado. (Enter a loss with a minus sign or parentheses. Complete all input fields. Enter a "0" for any zero balances.) Cost to Adjusted Insurance Casualty Gain 1 More Info - X Asset FMV Before FMV After Repair/Replace Basis Proceeds (Loss) Equipment A $ 13,600 $ 6,500 $ 8,000 $ 7,900 $ 1,900 Equipment B 10,100 10,400 3,000 7,200 FMV Before FMV After Cost to Adjusted Insurance Equipment C Not Available Not Available 14,100 14,600 11,900 Asset Casualty Casualty Repair/Replace Basis Proceeds Delivery Truck 14,000 26,000 13,300 11,900 Equipment A $ 13,600 $ 6,500 $ 8,000 $ 7,900 $ 1,900 Equipment B 10,100 10,400 3,000 7,200 Net business casualty loss deduction Equipment C Not Available Not Available 14,100 14,600 11,900 Now determine the personal casualty loss deduction Tim may take relating to the tornado. Delivery Cost to Adjusted Insurance Casualty Gain Truck 14,000 26,000 13,300 11,900 Asset FMV Before FMV After Repair/Replace Basis Proceeds (Loss) Automobile 12,000 8,500 24,000 8,500 Automobile 12,000 0 8,500 24,000 8,500 Although he could not obtain its fair market value after the casualties, Tim decided to repair rather than replace Equipment C. Before considering any deductions because of these casualties, Tim's AGI is $100,000. Tim is a carpenter who owns his own furniture manufacturing business. During the current year, a tornado (a federally declared disaster) damaged several pieces of equipment and destroyed his delivery truck and his personal automobile, which he often kept in the workshop garage. The asset descriptions and related values are as follows: (Click the icon to view the descriptions and values.) Requirement What deductions may Tim take relating to these losses? First complete the first portion of the analysis to determine the net business casualty loss deduction Tim may take. In the following step, determine the personal casualty loss deduction Tim may take relating to the tornado. (Enter a loss with a minus sign or parentheses. Complete all input fields. Enter a "0" for any zero balances.) Cost to Adjusted Insurance Casualty Gain 1 More Info - X Asset FMV Before FMV After Repair/Replace Basis Proceeds (Loss) Equipment A $ 13,600 $ 6,500 $ 8,000 $ 7,900 $ 1,900 Equipment B 10,100 10,400 3,000 7,200 FMV Before FMV After Cost to Adjusted Insurance Equipment C Not Available Not Available 14,100 14,600 11,900 Asset Casualty Casualty Repair/Replace Basis Proceeds Delivery Truck 14,000 26,000 13,300 11,900 Equipment A $ 13,600 $ 6,500 $ 8,000 $ 7,900 $ 1,900 Equipment B 10,100 10,400 3,000 7,200 Net business casualty loss deduction Equipment C Not Available Not Available 14,100 14,600 11,900 Now determine the personal casualty loss deduction Tim may take relating to the tornado. Delivery Cost to Adjusted Insurance Casualty Gain Truck 14,000 26,000 13,300 11,900 Asset FMV Before FMV After Repair/Replace Basis Proceeds (Loss) Automobile 12,000 8,500 24,000 8,500 Automobile 12,000 0 8,500 24,000 8,500