I was married in 2009. I paid my photographer $2650. Ultimately she did not complete her contracted agreement. I was due albums and never received them. It's now 2012 and I still have not received anything. Can I claim it as a loss/theft on my taxes for this year?

ANSWER

The BIDaWIZ Team's Answer:

This loss is based on a payment you made in 2009 and should be reflected on that year's tax return. You can still amend your 2009 tax return, but it is not worth it if it won't result in a tax refund. If you do amend your 2009 tax return, you can claim a casualty/theft loss as a short-term capital loss by filing Form 4684 with your return. Make sure you maintain proper documentation for the loss.