Jan 22, 2025 | Casualty Gain, Exclusion of Taxable Gain, Federal Disaster Declaration, Insurance
If this is your first year preparing returns for clients with casualty gain/loss, you may be a bit overwhelmed (I know we certainly were in 2017 in the North Bay when we had thousands of clients lose their homes). We put together this guide to help you navigate the...
Jan 16, 2025 | Exclusion of Taxable Gain, Insurance
The answer to this and most tax questions is: It depends. There is a potential for the insurance payments to be taxable and it depends on the facts and circumstances of each case. Casualty Loss: If a Home Owner was uninsured (or under-insured) and lost their house,...
Dec 13, 2024 | Exclusion of Taxable Gain, PG&E Settlement
President Biden has signed HR 5863 which excludes the PG&E Fire Victims Trust payments from Federal income for most taxpayers. (Note: California already excluded the payments from income so this bill covers Federal taxes only). Key features of the law: If an...
Jan 16, 2024 | Casualty Gain, Exclusion of Taxable Gain, Federal Disaster Declaration, PG&E Settlement
Congress has announced it has reached a budget deal that includes Federal tax relief for individuals who received settlement income related to wildfires. As of this writing, the bill has not passed yet, but assuming it does, The Tax Relief for American Families and...
Jun 22, 2022 | Exclusion of Taxable Gain, PG&E Settlement
As we’ve discussed in earlier posts on this site, for most taxpayers, the settlements from PG&E will be partially or fully taxable. However, relief from California tax may be coming via AB1249. What is AB1249? AB1249 would exclude the PG&E settlement...
Jan 27, 2021 | Casualty Gain, Exclusion of Taxable Gain, Federal Disaster Declaration
If this is your first year preparing returns for clients with casualty gain/loss, you may be a bit overwhelmed (I know we certainly were in 2017 when we had hundreds of clients lose their homes). We put together this guide to help you navigate the process. This tax...