Tax

Have a Tax Question? Ask a Tax Expert

Ask an Expert,
Get an Answer ASAP!

Tax
This answer was rated:

My wooden boat damaged another boat in the harbor - my cost

to fix the other boat...
My wooden boat damaged another boat in the harbor - my cost to fix the other boat was $10,000 because I didn't have insurance (just bought the boat).
Show More
Show Less
Ask Your Own Tax Question
Answered in 2 minutes by:
12/2/2012
Stephen G.
Stephen G., Sr Income Tax Expert
Category: Tax
Satisfied Customers: 7,211
Experience: Extensive Experience with Tax, Financial & Estate Issues
Verified

Stephen G :

Hi & thanks for using our service. I'll do my best to give you a complete & accurate answer. Please ask me to clarify anything that is not clear.

Customer:

Can I deduct the $10,000 pay I made to fix the other boat that my boat damaged?

Stephen G :

As long as the accident was not due to your WILLFUL act or negligence, the loss is deductible on Form 4684, which becomes an itemized deduction.

Stephen G :

Was your boat damaged also?

Customer:

Yes, it cost me about $6,000 dollars to repair.

Stephen G :

Also, if any of the loss was reimbursed by insurance, then to the extent it was reimbursed, it wouldn't be deductible.

Stephen G :

No insurance on anything?

Customer:

No insurance!

Stephen G :

Your boat damage would qualify also.

Customer:

Thanks

Stephen G :

Now, there is a "deductible" for tax purposes, are you aware of that?

Customer:

What is the deductible? How do I calculate it.

Stephen G :

Hold on a minute

Stephen G :

There's been a change in the computation I need to check, but the general casualty or theft deduction must exceed 10% of your Adjusted Gross Income.

Stephen G :

I need to check on something with respect to the other property you damaged.

Stephen G :

Unfortunately, I spoke too quickly re the damage to the other boat. Damage to your boat would qualify as a casualty loss but since you didn't own the other boat, that would not qualify as a casualty loss.

Stephen G :

Also, since you just bought your boat, I presume that it cost a lot more than $6,000.

Customer:

I guess the moral to this story is to make sure a person's insurance is in force. I take it there is no other way to recoup the $10,000 pay I made from the IRS.

Stephen G :

You will want to make sure that you include all of the property that was damaged, equipment, fishing gear, everything, in the loss related to your property.

Stephen G :

Well, you aren't in the charter business or anything that could related the boat to business, I presume.

Customer:

No, just a pleasure boat. Most of the damage was to the front.... I used duc tape to get it to dry dock. Thanks for your help. I may need your assistance again because the boat sank a year later, total loss.

Stephen G :

If you need to contact me again with any tax or financial questions, you can just ask for "Steve G" at the beginning of your question. Again, please remember to rate my response. Bonuses, where you think they are warranted, and excellent ratings, are always most appreciated. Thanks again for using JustAnswer.com.

Stephen G :

Your boat sunk?

Stephen G :

Are you still boating? What happened to it to make it sink?

Customer:

YES!!! I am add-mending my 2010 taxes. It sank in 2011, the fly bridge steering gear broke running it into a rock jetty. It was insured but not enough to fix it.

Stephen G :

Gee Whiz, what luck.

Customer:

Yes, thanks for your help, I will be contacting soon. Excellent service. Stephen G.

Stephen G :

Not sure I'd want strike three with that boat!

Customer:

I agree. bye

Stephen G.
Stephen G., Sr Income Tax Expert
Category: Tax
Satisfied Customers: 7,211
Experience: Extensive Experience with Tax, Financial & Estate Issues
Verified
Stephen G. and 87 other Tax Specialists are ready to help you
Ask your own question now
Ask Stephen G. Your Own Question
Stephen G.
Stephen G.
Stephen G., Sr Income Tax Expert
Category: Tax
Satisfied Customers: 7,211
7,211 Satisfied Customers
Experience: Extensive Experience with Tax, Financial & Estate Issues

Stephen G. is online now

A new question is answered every 9 seconds

How JustAnswer works:

  • Ask an ExpertExperts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional AnswerVia email, text message, or notification as you wait on our site. Ask follow up questions if you need to.
  • 100% Satisfaction GuaranteeRate the answer you receive.

JustAnswer in the News:

Ask-a-doc Web sites: If you've got a quick question, you can try to get an answer from sites that say they have various specialists on hand to give quick answers... Justanswer.com.
JustAnswer.com...has seen a spike since October in legal questions from readers about layoffs, unemployment and severance.
Web sites like justanswer.com/legal
...leave nothing to chance.
Traffic on JustAnswer rose 14 percent...and had nearly 400,000 page views in 30 days...inquiries related to stress, high blood pressure, drinking and heart pain jumped 33 percent.
Tory Johnson, GMA Workplace Contributor, discusses work-from-home jobs, such as JustAnswer in which verified Experts answer people’s questions.
I will tell you that...the things you have to go through to be an Expert are quite rigorous.

What Customers are Saying:

I really was impressed with the prompt response. Your expert was not only a tax expert, but a people expert!!! Her genuine and caring attitude came across in her response...

T.G.WMatteson, IL

I WON!!! I just wanted you to know that your original answer gave me the courage and confidence to go into yesterday's audit ready to fight.

BonnieChesnee, SC

Great service. Answered my complex tax question in detail and provided a lot of additional useful information for my specific situation.

JohnMinneapolis, MN

Excellent information, very quick reply. The experts really take the time to address your questions, it is well worth the fee, for the peace of mind they can provide you with.

OrvilleHesperia, California

Wonderful service, prompt, efficient, and accurate. Couldn't have asked for more. I cannot thank you enough for your help.

Mary C.Freshfield, Liverpool, UK

This expert is wonderful. They truly know what they are talking about, and they actually care about you. They really helped put my nerves at ease. Thank you so much!!!!

AlexLos Angeles, CA

Thank you for all your help. It is nice to know that this service is here for people like myself, who need answers fast and are not sure who to consult.

GPHesperia, CA

< Previous | Next >

Meet the Experts:

Wallstreet Esq.

Wallstreet Esq.

Tax Attorney

586 satisfied customers

10 years experience

Mark D

Mark D

Enrolled Agent

1,300 satisfied customers

MBA, EA, Specializing in Business and Individual Tax Returns and Issues

Richard

Richard

Tax Attorney

4,310 satisfied customers

29 years of experience as a tax, real estate, and business attorney.

Robin D.

Robin D.

Senior Tax Advisor 4

13,695 satisfied customers

15years with H & R Block. Divisional leader, Instructor

Megan C

Megan C

Certified Public Accountant (CPA)

8,651 satisfied customers

Licensed CPA, CFE, CMA, CGMA who teaches accounting courses at Master's Level

jgordosea

jgordosea

Enrolled Agent

2,885 satisfied customers

I've prepared all types of taxes since 1987.

R. Klein, EA

R. Klein, EA

Enrolled Agent

1,839 satisfied customers

Over 20 Years experience

< Previous | Next >

Related Tax Questions
Had a substantial casualty loss due to Sandy in 2012.
Had a substantial casualty loss due to Sandy in 2012. Claimed the loss on my tax return in 2013. Resulted in -$39000 in taxable income and zero tax for 2013. 1. Does the extra unused loss of this $390… read more
Robin D.
Robin D.
Senior Tax Advisor 4
Vocational, Technical or Trade School
13,695 satisfied customers
If lease payments are being taken as a tax deduction can the
If lease payments are being taken as a tax deduction can the mileage method be used to account for other expenses? Or are you required to use actual expenses?… read more
Robin D.
Robin D.
Senior Tax Advisor 4
Vocational, Technical or Trade School
13,695 satisfied customers
Dose mean can not deduct state income taxes only or dose it
dose mean can not deduct state income taxes only or dose it includes property taxes too … read more
NPVAdvisor
NPVAdvisor
CFP Licensee and Practitioner
Master's Degree
180 satisfied customers
Form 1120, cash basis. If Taxes paid to IRS are deductible,
Form 1120, cash basis. If Taxes paid to IRS are deductible, are refunds for overpayment the equivalent of income?… read more
Chad CFP ®
Chad CFP ®
Certified Financial Planner(R), Pro
Master\u0027s Degree
734 satisfied customers
I'm looking for help with tax deductions. I will be
I will be receiving a large lump sum this year. I want to know if there is a limit to how much state tax I can deduct for federal filing? … read more
emc011075
emc011075
Senior Tax Specialist
Bachelor's Degree
16 satisfied customers
On form 4684 for a Ponzi Scheme loss, part of the loss was
On form 4684 for a Ponzi Scheme loss, part of the loss was from a Roth IRA, the ROTH IRA goes to form 1040 Schedule A, how do you show the Roth loss as form 4684 is additive. We showed it in line 40 a… read more
Anne
Anne
Master Tax Preparer
1,328 satisfied customers
You may recall that tax deductions are only deductible by
You may recall that tax deductions are only deductible by the legislative grace of Congress. After this lesson, you might have realized that Congress was pretty generous with the types of business exp… read more
Barbara
Barbara
Enrolled Agent, Paralegal
3,473 satisfied customers
Can house maintenance and property taxes be deducted on form
Hello. Can house maintenance and property taxes be deducted on form 1041 for a house owned by decedent prior to the Executors selling it? … read more
NPVAdvisor
NPVAdvisor
CFP Licensee and Practitioner
Master's Degree
180 satisfied customers
I bought an IRA thinking it was deductible but the IRS added
I bought an IRA thinking it was deductible but the IRS added more income now the IRA is not deductible. Will the IRS treat it as income if I cash it in considering they disallowed it on my 2015 tax re… read more
emc011075
emc011075
Senior Tax Specialist
Bachelor's Degree
16 satisfied customers
I would like clarification on the IRS tax deductions and a
I would like clarification on the IRS tax deductions and a rental property I purchased recently. … read more
Robin D.
Robin D.
Senior Tax Advisor 4
Vocational, Technical or Trade School
13,695 satisfied customers
Since my adjusted gross income is over $100,000, I can't
Since my adjusted gross income is over $100,000, I can't take the rental loss that I have even though I was actively maintaining the property. Since I have a mortgage and property taxes on that rental… read more
Robin D.
Robin D.
Senior Tax Advisor 4
Vocational, Technical or Trade School
13,695 satisfied customers
I am not filing schedule A for itemized deductions, but
I am not filing schedule A for itemized deductions, but would like to include sales tax in 1040 Form. Where do I put it? … read more
Robin D.
Robin D.
Senior Tax Advisor 4
Vocational, Technical or Trade School
13,695 satisfied customers
Dependent Children. 1. Taxpayer's adjusted gross income is
Dependent Children.1. Taxpayer's adjusted gross income is over $ 800K so personal exemptions are phased out. 2. Taxpayer's children are between ages 12 - 17. 3. All three children have earned income o… read more
emc011075
emc011075
Senior Tax Specialist
Bachelor's Degree
16 satisfied customers
If I prepare an itemized deduction, can I also deduct the
If I prepare an itemized deduction, can I also deduct the standard deduction? … read more
LEV
LEV
Retired
Bachelor's Degree
14,896 satisfied customers
I am working on my itemized deductions (schedule a), can you
I am working on my itemized deductions (schedule a), can you tell me which line should I put 1) interest paid on the mortgage 2) property tax 3) home owner insurance. Thank you… read more
Richard
Richard
Tax Attorney
Doctoral Degree
4,310 satisfied customers
I am filing schedule a - itemized deductions - I see
I am filing schedule a - itemized deductions - I see interest(item 10) insurance(item 13) but I can not find the property tax deduction. Is property tax I'd deductible Thank you… read more
LEV
LEV
Retired
Bachelor's Degree
14,896 satisfied customers
I was wondering for itemized deductions line 23 other
Hi, I was wondering for itemized deductions line 23 other expenses, can I put student loan interest paid on this section? … read more
ABC Accounting Group
ABC Accounting Group
Bachelor\u0027s Degree
682 satisfied customers
Itemized Deduction for Property Tax I live in a Community
Itemized Deduction for Property Tax I live in a Community Property (CP) state (Nevada). I will file my 2015 Federal tax return as Married Filing Separately. I paid all of the 2015 property tax from an… read more
Rakhi Vasavada
Rakhi Vasavada
Financial / Legal Advisor
Bachelor\u0027s Degree
1,809 satisfied customers
Disclaimer: Information in questions, answers, and other posts on this site ("Posts") comes from individual users, not JustAnswer; JustAnswer is not responsible for Posts. Posts are for general information, are not intended to substitute for informed professional advice (medical, legal, veterinary, financial, etc.), or to establish a professional-client relationship. The site and services are provided "as is" with no warranty or representations by JustAnswer regarding the qualifications of Experts. To see what credentials have been verified by a third-party service, please click on the "Verified" symbol in some Experts' profiles. JustAnswer is not intended or designed for EMERGENCY questions which should be directed immediately by telephone or in-person to qualified professionals.

Disclaimer: Information in questions, answers, and other posts on this site ("Posts") comes from individual users, not JustAnswer; JustAnswer is not responsible for Posts. Posts are for general information, are not intended to substitute for informed professional advice (medical, legal, veterinary, financial, etc.), or to establish a professional-client relationship. The site and services are provided "as is" with no warranty or representations by JustAnswer regarding the qualifications of Experts. To see what credentials have been verified by a third-party service, please click on the "Verified" symbol in some Experts' profiles. JustAnswer is not intended or designed for EMERGENCY questions which should be directed immediately by telephone or in-person to qualified professionals.

Show MoreShow Less

Ask Your Question

x