Legal Question in Tax Law in California

Casulty and theft audit

I am being auditted for the amount of loss reported on my 04 tax returns. I had to prove that the items were mine but after showing that some of the items were purchased by my parents or were gifts, they are asking me to answer ''why should items I didn't purchase be considered a loss?''

I didn't know there could be such grey area with the IRS. If they were wedding gifts would I have to ask all my guest for receipts? Please inform. Audit is Aug 14.


Asked on 8/01/07, 7:24 pm

1 Answer from Attorneys
Michael Stone Law Offices of Michael B. Stone Toll Free 1-855-USE-MIKE

Re: Casulty and theft audit

If the items were yours, and you had a theft, fire or other casualty loss, it shouldn't matter how you acquired the items. They were your property.

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Answered on 8/01/07, 7:27 pm


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