Jane operates a snow removal venture on the side for times when her limo business takes a downturn on account of bad weather. As part of the venture, she purchased a snowblower for $1000, which now has a fair market value of $600. What is the tax impact if the snowblower dies in the middle of a snowbank one cold winter afternoon? Assume the same facts as above, except that because snowblowers have become increasingly expensive, Jane has taken out an insurance policy of $1200, which she estimates to be the replacement cost of her snowblower. How does this impact your analysis? Jane neighbor Joe is really impressed with Janes snowblower, so he goes and buys one solely for use in his own yard. He leaves it out in a blizzard, so that it will be handy when it comes time to clear the snow. When he walks out of his house into the blizzard, though, he is horrified to discover that a tree has fallen and flattened his snowblower. Assuming that the blizzard resulted in a Federally declared disaster, would Joes basis in the snowblower qualify for a 165 loss deduction? Assume the same facts as above, but instead of being destroyed by the falling tree, Joes snowblower simply wont start and has been used so often that it is beyond repair. Can Joe recover his basis as a 165(c)(3) loss?