Jim Jones Had A Deductible Casualty Loss Of 10 000 On His 2010 Tax Return His Ta

Jim Jones had a deductible casualty loss of $10,000 on his 2010 tax return. His taxable income was $112,000 in 2010. In september of 2011, Jim is reimbursed $5,000 for the prior year’s casualty loss. He should include the $5,000 in gross income for 2011.