Discussion:Theft schedule C
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Discussion Forum Index --> Advanced Tax Questions --> Theft schedule C
Discussion Forum Index --> Tax Questions --> Theft schedule C
WIaccountant (talk|edits) said: | 7 March 2008 |
client had cash and some inventory stolen from their convenient store.
Does this go on 4684 and then flow to schedule A? or can this somehow be taken off schedule C income since it is a business loss. How do I show the inventory stolen on page 2 of schedule c? thanks in advance for your help | |
Bottom Line (talk|edits) said: | 7 March 2008 |
| There was another post about a week about an embezzlement. Take this off as "theft loss" and make sure your client has a police report. | |
| March 7, 2008 | |
| If it's business related, it all goes on Sch C. You'd lose part, probably all, on Sch A due to the 10% haircut.
If the inventory loss is substantial, move it from COGS to a separate line item so your percentages aren't distorted. The cash loss I would list as a separate item also "theft" under other expenses on the Sch C. | |
WIaccountant (talk|edits) said: | 7 March 2008 |
| Thank you! | |
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