Tax Relief Available For Florida Disaster Victims
Release Date: August 27, 2004
Release Number: 1539-057
» More Information on Florida Hurricane Charley and Tropical Storm Bonnie
ORLANDO, Fla. -- Florida residents affected by Hurricane Charley may be eligible for various forms of tax relief that could lessen some losses, federal and state disaster recovery officials said today.
“The U.S. Internal Revenue Service (IRS) permits those with casualty losses suffered as a result of the disaster to claim this year’s losses on last year’s return, or amend last year’s return already mailed,” said Federal Coordinating Officer Bill Carwile.
“The advantage is a quicker refund than available if the losses are filed on returns for 2004.”
Casualty losses for tax purposes are based on the decrease in fair market value of the property as a result of the disaster, minus any insurance payments or other reimbursements received. The IRS will ask for the latest tax return, estimates of repairs, before and after photographs, appraisals or any other loss documentation.
Disaster tax reduction is available to taxpayers living in any of the 25 disaster-declared counties and contiguous counties that sustained losses as a direct result of the hurricane.
“We want all eligible victims to receive the maximum benefits available. This is one of those benefits,” said State Coordinating Officer Craig Fugate.
Fugate advises people affected by a disaster to check with their local county auditor about the possibility of claiming a reduction in the taxable value of property destroyed or damaged.
“The amount would be pro-rated based on the calendar quarter in which the damage occurred,” Fugate added.
Property owners must file an application with the county auditor for a reduction within 30 days of the end of the quarter in which the damage occurred.
Casualty losses can be claimed on IRS form 4684. IRS publications 547 and 2194 are also available to provide guidelines. Both the form and publications are found on the IRS Web site at www.IRS.gov or by calling toll free at 1-800-829-1040.
The State Emergency Response Team (SERT) is a collaboration of Florida’s emergency management agencies led by the state coordinating officer. SERT’s mission is to ensure that Florida is prepared to respond to emergencies, recover from them, and mitigate their impact. Visit http://www.floridadisaster.org for the latest information on the hurricane relief effort.
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: Friday, 27-Aug-2004 12:28:24