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Casualty loss

Although deduction for a loss generally is confined to a loss connected with a trade or business or a transaction entered into for profit, the law also allows deduction of a casualty loss for all types of assets, including personal assets such as a home, jewelry, clothing, etc. Theft, although not strictly a casualty, is in the same category for income tax deduction purposes. Personal casualty losses are deductible only to the extent that each such loss exceeds $100 per occurrence in 2016 and that the aggregate excess is greater than 10 percent of adjusted gross income.