Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Item 7 In 2019, the Jurics' pleasure boat was severely damaged by a hurricane in a region that was declared a federally disaster area. They
Item 7
In 2019, the Jurics' pleasure boat was severely damaged by a hurricane in a region that was declared a federally disaster area. They had AGI of $110,000 in 2019. The following information relates to the craft:
| Cost Basis | $ | 95,000 |
| FMV before casualty | 145,000 | |
| FMV after casualty | 25,000 | |
The Jurics had insurance and received an $80,000 insurance settlement. What is the allowable casualty loss deduction for the Jurics in 2019?
Multiple Choice
-
$50,000.
-
$15,000.
-
$3,900.
-
$3,000.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started