Almost every where in the world, the first few weeks of the year is celebrated with a lot of giving and sharing, joy, and happiness. But you can’t rule out unwanted visitors. When burglars break into your home, it can be a very nasty experience; one that might consume much more than your valuables in extreme cases. The single experience with such unwanted guests could change your perception of life for a long time.

How Safe is Your Home?

Garage doors should be equipped with locks, just like your front door.  Lots of criminals make their way through garage doors. According to the police, it is said that many offenders scout neighbourhoods during the holidays in search of suitable houses to rob by checking garage doors to see if they can go in through there. You should always remember to lock the doors to your garage as it is their first option of entrance into your house. It’s possible that they can also pick the locks of your door, but the chances are slimmer because most burglars are usually after easy scores; they might be too lazy or impatient to pick locked doors.

It is also important that whenever you drive out of your garage, you go back in to lock the garage door and activate your alarm system. All this might be a bit stressful, especially on days when you are rushing out, but it is worth all the trouble you would have to go through explaining to your family, friends and police how they broke into your house, not forgetting the cash implication.

Are there Any Theft Deductions?

The answer is yes. If an intruder manages to break into your secured house, you might be able to get help from the government in form of a tax break. The Form 4684 for disaster losses is what you’d have to fill out; it covers for damages that are not too devastating. It has been designed primarily for theft and casualty losses. In criminal law, there is a clear disparity between theft and burglaries, burglaries can be filed under the IRS definition of deductible losses. This should ease your burden when you are replacing your lost items.

How Do You Know your Limits?

The same boundaries or limits that are placed on deductions for major natural disasters also apply to burglaries and theft too. The first thing to do is to itemize your deduction claims. If you happen to be operating an insurance policy that helps you repay for some of your losses, you have to deduct the amount given to you by the insurance provider from you overall loss. After which, you reduce your non-insured loss by $100.

Lastly, from you reduced figure, subtract 10% of your Adjusted Gross Income. What is left is the amount that you are allowed to claim as your deduction. If it is your own property that was stolen or vandalised, you can read up the IRS Publication 584 to learn more on what to do to get better tax cuts. For losses on business possessions, read up the IRS Publication 584B.

If much wasn’t stolen from you and you have an insurance plan to cover for you, you might not get much in tax deductions However, if a lot was stolen, this might be a good way to reduce the tension on your wallet. Let’s just hope and pray we are all safe this new year.