Flood Losses Could Trigger Tax Breaks 

Release Date: December 4, 2003
Release Number: 1500-25

» More Information on West Virginia Severe Storms, Flooding, and Landslides

CHARLESTON, W. Va. -- West Virginia residents who suffered losses in any of the counties affected by the severe storms, flooding and landslides between November 11 and November 30, 2003 may be eligible for tax refunds from the Internal Revenue Service (IRS) .

The IRS has ruled that such losses, defined as damage, destruction, or loss of property from a catastrophic event, may be deducted on the federal income tax return for the year in which the casualty occurred or by amending the return for the previous year.

West Virginians who suffered losses from the recent storms may amend their federal income tax returns for the year 2002, filed this year, to reflect all or part of their loss, or they may include the deductions in returns to be filed by April 15, 2004.

Deductible items include homes and personal property, such as furnishings, appliances, vehicles and clothing. Amending this year's return to claim casualty losses may provide additional money for home repairs or replacing damaged goods. Reports compiled by inspectors from the Department of Homeland Security's Federal Emergency Management Agency (FEMA) will serve to document losses and may be attached to your tax form or to the amendment.

Several special IRS provisions apply to disasters . The IRS general information number is 1-800-829-1040. To learn more about claiming disaster losses, ask for the Disaster Losses Kit for Individuals (Publication 2194). The kit contains all the IRS forms and instructions necessary to file a disaster loss claim. Business owners should ask for Publication 2194-B, which has specific instructions for businesses.

To get a copy of the Disaster Kit, or any other IRS form, call 1-800-829-3676 (toll-free), or visit the IRS Web site at www.irs.gov . Forms and publications are also available at local IRS tax assistance centers.

Individuals who have not yet applied for state and federal disaster assistance may register by calling the FEMA toll-free registration line at 1-800-621-FEMA (3362), or TTY 1-800-462-7585 for the speech or hearing impaired. The phones lines are open from 8 a.m. to 6 p.m. seven days a week.

On March 1, 2003, FEMA became part of the U.S. Department of Homeland Security. FEMA's continuing mission within the new department is to lead the effort to prepare the nation for all hazards and effectively manage federal response and recovery efforts following any national incident. FEMA also initiates proactive mitigation activities, trains first responders, and manages the National Flood Insurance Program and the U.S. Fire Administration.

Last Modified: Thursday, 04-Dec-2003 15:09:12