Form 4684: Casualties And Thefts

DEFINITION of 'Form 4684: Casualties And Thefts'

A tax form distributed by the Internal Revenue Service (IRS) used to report casualties and thefts of personal property. Taxpayers can deduct losses stemming from fires, floods and other casualties, as well as robberies, larcenies and other forms of theft. Losses are to be deducted in the tax year that they occurred or, in the case of a theft, when they were discovered.


Personal injury related to the loss, such as bodily injury from a storm that also damaged a home, cannot be deducted. Taxpayers who submit an insurance claim for a loss and receive reimbursement greater than the cost basis of the property may be required to pay additional taxes.


Form 4684 is not to be used for casualties and theft affecting income-producing or business property.

BREAKING DOWN 'Form 4684: Casualties And Thefts'

If the property is covered by insurance, only the part of the loss not covered can be deducted. If the property is covered and the taxpayer does not submit a timely insurance claim, then the loss cannot be deducted.


Damage resulting from major disasters, such as hurricanes, sometimes falls under unique provisions that only last for a few years. For example, special provisions were made available to victims of Hurricane Katrina in 2005.

RELATED TERMS
  1. IRS Publication 547

    A document published by the Internal Revenue Service (IRS) that ...
  2. Casualty And Theft Losses

    Deductible losses stemming from the loss or destruction of the ...
  3. Casualty Insurance

    A broad category of coverage against loss of property, damage ...
  4. Broad Form Personal Theft Insurance

    Insurance coverage to protect personal assets. Broad form personal ...
  5. Commercial Lines Insurance Pricing ...

    An annual survey from the consulting firm Towers Perrin that ...
  6. Schedule A

    Schedule A is a U.S. income tax form that is used by taxpayers ...
Related Articles
  1. Personal Finance

    Deducting Disaster: Casualty And Theft Losses

    If you've been a victim, your losses may be deductible. Find out how.
  2. Personal Finance

    An Overview Of Itemized Deductions

    Not taking the standard deduction this year could save you hundreds of dollars.
  3. Personal Finance

    Cut Taxes By Reporting Property Damage

    Know the options you have for your insured property if and when a disaster strikes.
  4. Investing

    Identity Theft Protection Services: Worth Having?

    A detailed review of what you get from American's leading identity theft protection agencies. Start here before deciding whether you need this coverage.
  5. Retirement

    Top Tax Tips For Retirees

    Filing your taxes during retirement can be just as time consuming as when you were employed. We have some tips to help you out.
  6. Financial Advisor

    Increase Your Tax Refund With Above-The-Line Deductions

    Find out about these deductions and how you can use them to lower your tax bill.
  7. Personal Finance

    Do You Need Casualty Insurance?

    Find out how different types of coverages can protect you and which policy is right for you.
  8. Investing

    Identity Theft: How Much Should You Worry?

    Identity fraud cost $18 billion last year. But are enough Americans victimized – with big enough losses – that it's worth buying protection?
  9. Personal Finance

    How Does Depreciation Reduce My Tax Bill?

    How the depreciation tax rule can assist real estate investors.
  10. Personal Finance

    Why You Should Itemize Your Tax Deductions

    This strategy of moving your tax deductable payments and donations to the following year could mean hundreds more on your return.
RELATED FAQS
  1. What's the difference between casualty insurance and disability insurance?

    Casualty insurance is often called "property casualty insurance", and it provides insurance protection for your property ... Read Answer >>
  2. Are real estate maintenance expenses deductible when the home is unoccupied and the ...

    During the time between the death of a parent and the sale of their home, there were maintenance expen... Read Answer >>
  3. How do I know whether to itemize deductions or take the standard deduction?

    Taking the standard deduction is the easiest and most common method chosen by filers, but many taxpayers may wind up paying ... Read Answer >>
  4. Does renters insurance cover theft?

    Learn how a renters insurance policy provides worldwide theft coverage of your personal property and how to document items ... Read Answer >>
  5. What is the average return on total revenue for the insurance sector?

    Learn about the three main segments of the insurance industry, and find out what the average return on revenues is for the ... Read Answer >>
  6. How is the deductible I paid for my insurance claim treated for tax purposes?

    Find out how your health insurance deductible is treated for tax purposes and under what conditions you may be able to deduct ... Read Answer >>
Trading Center