Storm Damage and Your Taxes

4/25/2022 (Permalink)

Commercial storm damage in Fountain City, TN.

Storm Damage and Your Taxes

If a powerful storm hits your company in Fountain City, TN, there may be many resources that can help you cope with such things as extra expenses, a temporary business shut down and damages. If your area is declared a disaster zone due to widespread storms, you could also see some extra relief. This could come in the form of delayed deadlines for filing taxes, as well as the ability to receive zero or low-interest loans to repair storm damage. The Federal Emergency Management Agency often has helpful information on its website. Your company could also get some relief during tax time.

Qualifying for a Tax Write-Off?

Any time your company faces a business loss it is a good idea to investigate what items might be tax-deductible. This should always be done in consultation with a tax professional, as tax laws can be hard to interpret and they change from year to year. Storm damage is available for a tax deduction in these broad circumstances:

• It represents a true business loss
  
• It is not covered by insurance
  
• It was paid for by your company
  
  

When filing taxes, it is important to subtract reimbursements from your insurance company or other sources. IRS Publication 547 provides information on calculating and applying for disaster losses.

Recovering From a Storm Disaster

While costs and expenses are an important part of any storm relief, they are not the entire picture. Your company will also likely need the services of a certified storm remediation franchise. A professional restoration company will send a team of technicians to your facility to remove water, repair structures and clean and sanitize the premises. These workers will make sure your building is in good shape again. Members of the SERVPRO franchise are always Here to Help.
Storm damage presents many challenges for your company. It is important to seek help in all available areas.