Chinese drywall homes may qualify for IRS tax breaks

Quick blurb on an article The Herald Tribune did on possible tax benefits for those who suffered as a result of Chinese drywall installed in their homes

The Internal Revenue Service says that victims of Chinese drywall might qualify for a casualty loss on their taxes because of the corrosion on pipes, air-conditioning and electrical appliances caused by gases released from the materials.

Section 165 of the IRS Code allows a casualty loss deduction in some circumstances, wrote George J. Blaine, the IRS’s associate chief counsel, in response to a letter from three U.S. senators, including Florida Democrat Bill Nelson, and a Virginia congressman.

Casualty losses are those suffered as a result of an unexpected event such as a fire, storm or theft.

If this proves true, it would be a great assist to those who have faced hardship because of this faulty wallboard being brought into the country.

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