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The loss try $step 3,100000, and you also estimated that your particular insurance create defense $dos,five-hundred of it. Your did not itemize deductions on the 2022 go back nor do you enhance your simple deduction from the quantity of their loss. If insurance company reimburses your to the loss, you don’t report all compensation as the earnings. This really is genuine even though it is to the complete $3,100000 because you didn’t deduct the loss on your 2022 get back.

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