Scams

[Opfor77]

Can someone deduct money lost in one of those overseas scams?  Client lost $500,000.  I believe money lost from blackmail can be deducted, but not sure about scams.

[Just-Lisa-Now-]

TCJA took away most casualty/theft losses unless it was a federally declared disaster.

https://www.irs.gov/pub/irs-pdf/p547.pdf

[Jim-from-Ohio]

I had a client scammed and to make make matters worse they received 1099-Rs as they paid the scam with IRA withdrawals.  I called local congressman's office and they have a person there that advocates between the IRS and the taxpayer and we are petitioning that the income tax due to the 1099-Rs be written off as uncollectable.  

[qbteachmt]

The details matter. Personal, business, investment, Ponzi, pyramid, Love, etc.