Form 4684 Casualties and Thefts

Form

4684

Department of the Treasury
Internal Revenue Service
Name(s) shown on tax return

Casualties and Thefts
▶

OMB No. 1545-0177

2014

Information about Form 4684 and its separate instructions is at www.irs.gov/form4684.
▶ Attach to your tax return.
▶ Use a separate Form 4684 for each casualty or theft.

Attachment
Sequence No. 26
Identifying number

SECTION A—Personal Use Property (Use this section to report casualties and thefts of property not used in a trade
or business or for income-producing purposes.)
1 Description of properties (show type, location, and date acquired for each property). Use a separate line for each property lost or damaged from
the same casualty or theft.
Property A
Property B
Property C
Property D

Properties
A
2 Cost or other basis of each property .

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3 Insurance or other reimbursement (whether or not you
filed a claim) (see instructions) . . . . . . . .
Note: If line 2 is more than line 3, skip line 4.
4 Gain from casualty or theft. If line 3 is more than line 2,
enter the difference here and skip lines 5 through 9 for
that column. See instructions if line 3 includes insurance
or other reimbursement you did not claim, or you
received payment for your loss in a later tax year . .
5 Fair market value before casualty or theft . . . .
6 Fair market value after casualty or theft . . . . .
7 Subtract line 6 from line 5 . . . . . . . . .
8 Enter the smaller of line 2 or line 7 . . . . . .
9 Subtract line 3 from line 8. If zero or less, enter -0- . .

B

C

D

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10 Casualty or theft loss. Add the amounts on line 9 in columns A through D .
11 Enter the smaller of line 10 or $100 . . . . . . . . . . . .
12 Subtract line 11 from line 10 . . . . . . . . . . . . . .

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Caution: Use only one Form 4684 for lines 13 through 18.
13 Add the amounts on line 12 of all Forms 4684 . . . .
14 Add the amounts on line 4 of all Forms 4684. . . . .

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17 Enter 10% of your adjusted gross income from Form 1040, line 38, or Form 1040NR, line 37. Estates and trusts, see
instructions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

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15 • If line 14 is more than line 13, enter the difference here and on Schedule D. Do not
complete the rest of this section (see instructions).
• If line 14 is less than line 13, enter -0- here and go to line 16.
• If line 14 is equal to line 13, enter -0- here. Do not complete the rest of this section.
16 If line 14 is less than line 13, enter the difference . . . . . . . . . . .

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18 Subtract line 17 from line 16. If zero or less, enter -0-. Also enter the result on Schedule A (Form 1040), line 20, or
Form 1040NR, Schedule A, line 6. Estates and trusts, enter the result on the “Other deductions” line of your tax
return . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
For Paperwork Reduction Act Notice, see instructions.
Cat. No. 12997O

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Form 4684 (2014)

Page 2

Attachment Sequence No. 26

Form 4684 (2014)

Identifying number

Name(s) shown on tax return. Do not enter name and identifying number if shown on other side.

SECTION B—Business and Income-Producing Property
Casualty or Theft Gain or Loss (Use a separate Part l for each casualty or theft.)
Part I
19 Description of properties (show type, location, and date acquired for each property). Use a separate line for each property lost or damaged
from the same casualty or theft. See instructions if claiming a loss due to a Ponzi-type investment scheme and Section C is not completed.
Property A
Property B
Property C
Property D

Properties
A
20 Cost or adjusted basis of each property .

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21 Insurance or other reimbursement (whether or not you
filed a claim). See the instructions for line 3 . . . .

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Note: If line 20 is more than line 21, skip line 22.
Gain from casualty or theft. If line 21 is more than line 20, enter
the difference here and on line 29 or line 34, column (c), except
as provided in the instructions for line 33. Also, skip lines 23
through 27 for that column. See the instructions for line 4 if line
21 includes insurance or other reimbursement you did not
claim, or you received payment for your loss in a later tax year
Fair market value before casualty or theft . . . .
Fair market value after casualty or theft . . . . .
Subtract line 24 from line 23 . . . . . . . .
Enter the smaller of line 20 or line 25
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26

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D

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Note: If the property was totally destroyed by casualty or
lost from theft, enter on line 26 the amount from line 20.
27 Subtract line 21 from line 26. If zero or less, enter -027
28 Casualty or theft loss. Add the amounts on line 27. Enter the total here and on line 29 or line 34 (see instructions)

Part II

Summary of Gains and Losses (from separate Parts l)

28

(b) Losses from casualties or thefts

(a) Identify casualty or theft

(c) Gains from
casualties or thefts
includible in income

(ii) Incomeproducing and
employee property

(i) Trade, business,
rental or royalty
property

Casualty or Theft of Property Held One Year or Less
29

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30 Totals. Add the amounts on line 29

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31 Combine line 30, columns (b)(i) and (c). Enter the net gain or (loss) here and on Form 4797, line 14. If Form 4797 is
not otherwise required, see instructions . . . . . . . . . . . . . . . . . . . . . . .

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32 Enter the amount from line 30, column (b)(ii) here. Individuals, enter the amount from income-producing property on Schedule A
(Form 1040), line 28, or Form 1040NR, Schedule A, line 14, and enter the amount from property used as an employee on Schedule
A (Form 1040), line 23, or Form 1040NR, Schedule A, line 9. Estates and trusts, partnerships, and S corporations, see instructions

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Casualty or Theft of Property Held More Than One Year
33 Casualty or theft gains from Form 4797, line 32 . . . . . . . . . . . . . . . . . . . . . . . . .
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35 Total losses. Add amounts on line 34, columns (b)(i) and (b)(ii) . . . . .

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36 Total gains. Add lines 33 and 34, column (c) . . . . . . . . . . . . . . . . . . . . . .
37 Add amounts on line 35, columns (b)(i) and (b)(ii) . . . . . . . . . . . . . . . . . . . .
38 If the loss on line 37 is more than the gain on line 36:
a Combine line 35, column (b)(i) and line 36, and enter the net gain or (loss) here. Partnerships (except electing large
partnerships) and S corporations, see the note below. All others, enter this amount on Form 4797, line 14. If Form
4797 is not otherwise required, see instructions . . . . . . . . . . . . . . . . . . . . .
b Enter the amount from line 35, column (b)(ii) here. Individuals, enter the amount from income-producing property on
Schedule A (Form 1040), line 28, or Form 1040NR, Schedule A, line 14, and enter the amount from property used as
an employee on Schedule A (Form 1040), line 23, or Form 1040NR, Schedule A, line 9. Estates and trusts, enter on
the “Other deductions” line of your tax return. Partnerships (except electing large partnerships) and S corporations,
see the note below. Electing large partnerships, enter on Form 1065-B, Part II, line 11 . . . . . . . . .
39 If the loss on line 37 is less than or equal to the gain on line 36, combine lines 36 and 37 and enter here. Partnerships
(except electing large partnerships), see the note below. All others, enter this amount on Form 4797, line 3 . . . .
Note: Partnerships, enter the amount from line 38a, 38b, or line 39 on Form 1065, Schedule K, line 11.
S corporations, enter the amount from line 38a or 38b on Form 1120S, Schedule K, line 10.

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38b
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Form 4684 (2014)

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Form 4684 (2014)
Identifying number

Name(s) shown on tax return

SECTION C—Theft Loss Deduction for Ponzi-Type Investment Scheme Using the Procedures in Revenue
Procedure 2009-20 (Complete this section in lieu of Appendix A in Revenue Procedure 2009-20. See instructions.)
Computation of Deduction
Part I
40 Initial investment . . . . . . . . .
41 Subsequent investments (see instructions) .

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42 Income reported on your tax returns for tax years prior to the discovery year
(see instructions) . . . . . . . . . . . . . . . . . .
43 Add lines 40, 41, and 42 . . . . . . . . . . . . . . .
44 Withdrawals for all years (see instructions) . . . . . . . . . .
45 Subtract line 44 from line 43. This is your total qualified investment . . .

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46 Enter .95 (95%) if you have no potential third-party recovery. Enter .75 (75%) if you
have potential third-party recovery . . . . . . . . . . . . . . .

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49
50

Multiply line 46 by line 45 . . . . . . . . . . . . . . . .
Actual recovery . . . . . . . . . . . . . . . . . . .
Potential insurance/Securities Investor Protection Corporation (SIPC) recovery
Add lines 48 and 49. This is your total recovery . . . . . . . . . .

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50

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Subtract line 50 from line 47. This is your deductible theft loss. Include this amount on
line 28 of Section B, Part I. Do not complete lines 19-27 for this loss. Then complete
Section B, Part II . . . . . . . . . . . . . . . . . . . . .

Part II

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Required Statements and Declarations (See instructions.)

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• I am claiming a theft loss deduction pursuant to Revenue Procedure 2009-20 from a specified fraudulent arrangement conducted by the following
individual or entity.
Name of individual or entity
Taxpayer identification number (if known)
Address
• I have written documentation to support the amounts reported in Part I of this Section C.
• I am a qualified investor as defined in section 4.03 of Revenue Procedure 2009-20.
• If I have determined the amount of my theft loss deduction using .95 on line 46 above, I declare that I have not pursued and do not intend to pursue
any potential third-party recovery, as that term is defined in section 4.10 of Revenue Procedure 2009-20.
• I agree to comply with the conditions and agreements set forth in Revenue Procedure 2009-20 and this Section C.
• If I have already filed a return or amended return that does not satisfy the conditions in section 6.02 of Revenue Procedure 2009-20, I agree to all
adjustments or actions that are necessary to comply with those conditions. The tax year(s) for which I filed the return(s) or amended return(s) and the
date(s) on which they were filed are as follows:

Form 4684 (2014)