Ponzi Scheme Losses
Ponzi Loss Recovery - Do I File an Amended Return ?
If a taxpayer properly claimed a theft loss deduction and in a later year recovers a portion of the amounts lost, the taxpayer may Not amend the prior year’s income tax return to reduce the theft loss deduction by the amount of the recovery. Instead, the recovery is includible as tax benefit income in the year received.
Need Professional Help?
If you need help with "Ponzi Scheme Losses" or have other tax questions, we can help you find a local licensed tax preparer for a free, no-obligation consultation.