In a federally declared disaster area, if a claim for reimbursement exists and there's a reasonable prospect of recovery, the casualty will still be reported in the year the disaster took place Will not be reported until the reimbursement claim is determined with reasonable certainty Will be reported in the year immediately following the year the claim is determined with reasonable certainty will either be reported in the year of the disaster or on the tax return for the year before the disaster took place Mark for follow up