US SB1773

Reinstates the personal casualty loss tax deduction that was suspended by the Tax Cuts and Jobs Act of 2017 (Public Law 115-97), allowing taxpayers to deduct losses from theft, disasters, and other casualties

Applies retroactively to taxable years beginning after December 31, 2017

Extends the statute of limitations for filing refund claims, allowing taxpayers who filed returns before January 1, 2025 to claim refunds for previously disallowed casualty loss deductions

Sets the deadline for filing retroactive refund claims as the due date for the tax return of the year in which this act is enacted

Amends Section 165(h) of the Internal Revenue Code by striking paragraph (5), which currently limits casualty loss deductions to federally declared disasters only