The “2017 Tax Cut & Jobs Act” focuses on the discovery year and then only allows losses to be carried forward after the discovery year.

Below is an updated video and reflects the new update Trump Tax Bill

Tax Refunds from Ponzi Scheme Losses by Deduction of those Losses:

•  Prior to the Trump 2017 Tax Cut & Jobs Act. by claiming losses in year of discovery and carry back of losses for three year period plus carry forward of 2 years of losses.
• The only amount of losses that can be claimed in the year of discovery are losses for which there is no reasonable prospect of recovery. Losses cannot be claimed if there is a prospect of recovery.
• Losses not taken in the year of discovery are recoverable when the taxpayer can show with reasonable certainty that there will be no additional recoveries in the future. The “reasonable certainty” standard is more difficult to prove.
• New tax law does not permit the taxpayer to claim a loss in the year of discovery and carryback those losses for three years prior to the discovery year.

NEW ARTICLE By Richard S. Lehman:  Has the Trump Tax Cut and Jobs Act made business theft loss deductions and losses less valuable?

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