Question
Olaf lives in the state of Minnesota. In May 2023, a tornado hit the area and damaged his home and automobile. Applicable info is as
- Olaf lives in the state of Minnesota. In May 2023, a tornado hit the area and damaged his home and automobile. Applicable info is as follows.
| Item | Adjusted Basis | FMV Before | FMV After | Insurance Proceeds |
| Home | $350,000 | $500,000 | $100,000 | $280,000 |
| Auto | $60,000 | $40,000 | $10,000 | $20,000 |
Because of the extensive damage caused by the tornado, the President designated the area a Federal disaster area. Olaf and his wife, Anna, always file a joint return. Their 2022 tax return shows AGI of $180,000 and taxable income of $150,000. In 2023, their return shows AGI of $300,000 and taxable income (exclusive of the casualty loss deduction) of $245,000. Determine the amount of Olaf and Annas loss and the year in which they should take the loss.
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The Marketing Audit Translating Marketing Theory Into Practice The Marketing Series
Authors: Malcolm McDonald
1st Edition
0750600896, 978-0750600897
