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QUESTION DETAIL
Related User
Votes
If I lost money due to a Ponzi scheme, can I deduct it? If so, where do I report it on my tax return?
ANSWER
The BIDaWIZ Team's Answer:
Ponzi schemes are for profit transactions that do not fall under the same strict casualty loss criteria noted on Schedule A of your form 1040. This loss is recorded on Section B of Form 4684 and are fully deductible on form 1040.
