H G 1 John Smith owns a beach house in Galveston. In morning of March 1, 2017 he goes to beach to take swim. There a thief stole his watch costing 14,000 Fair Market Value on March 1, 2017 was $3500 In the evening his beach house got burnt. His cost on the house was $130,000 Fair market value before the fire was 150,000 Insurance company paid $60,000. His adjusted gross income for 2017 was $400,000. Calculate Casulty loss for 2017 Assume that event happened in 2018, how much loss is deductible? None cost Decline in value-watch Loss 3,500 3,400 14,000 House Decline in value-house 150,000 cost 130,000 Loss 129,900 Total Loss 133,300 129900+3400 less 10% of agi 40,000 Less insurance 60,000 Deductible loss 33,300 2018 None is deductible Mr. Smith wants to take the highest depreciation. He acquired machinery on on 01/01/2018 for $2,950,000 3 2,950,000 Cost Section 179 Basis Bonus Sheet1 2,950,000 1,020,000 Total Dep 1,930,000 1,930,000 H G 1 John Smith owns a beach house in Galveston. In morning of March 1, 2017 he goes to beach to take swim. There a thief stole his watch costing 14,000 Fair Market Value on March 1, 2017 was $3500 In the evening his beach house got burnt. His cost on the house was $130,000 Fair market value before the fire was 150,000 Insurance company paid $60,000. His adjusted gross income for 2017 was $400,000. Calculate Casulty loss for 2017 Assume that event happened in 2018, how much loss is deductible? None cost Decline in value-watch Loss 3,500 3,400 14,000 House Decline in value-house 150,000 cost 130,000 Loss 129,900 Total Loss 133,300 129900+3400 less 10% of agi 40,000 Less insurance 60,000 Deductible loss 33,300 2018 None is deductible Mr. Smith wants to take the highest depreciation. He acquired machinery on on 01/01/2018 for $2,950,000 3 2,950,000 Cost Section 179 Basis Bonus Sheet1 2,950,000 1,020,000 Total Dep 1,930,000 1,930,000