Some natural disasters are more common in the summer. But major events like hurricanes, tornadoes and fires can strike any time. It’s a good idea to plan for what to do in case of a disaster. You can help make your recovery easier by keeping your tax and financial records safe. Here are some basic steps you can take now to prepare:
- Backup Records Electronically. Many
people receive bank statements by email. This is a good way to secure
your records. You can also scan tax records and insurance policies onto
an electronic format. You can use an external hard drive, CD or DVD to
store important records. Be sure you back up your files and keep them in
a safe place. If a disaster strikes your home, it may also affect a
wide area. If that happens you may not be able to retrieve your records.
- Document Valuables. Take photos or videos of the contents of
your home or business. These visual records can help you prove the
value of your lost items. They may help with insurance claims or
casualty loss deductions on your tax return. You should store them with a
friend or relative who lives out of the area.
- Update Emergency Plans. Review your emergency plans every
year. Update them when your situation changes. Make sure you have a way
to get severe weather information. Have a plan for what to do if
threatening weather approaches.
- Get Copies of Tax Returns or Transcripts. Visit IRS.gov to get Form 4506,
Request for Copy of Tax Return, to replace lost or destroyed tax
returns. If you just need information from your return, you can order a free transcript online or by calling 800-908-9946. You can also file Form 4506T-EZ, Short Form Request for Individual Tax Return Transcript or Form 4506-T, Request for Transcript of Tax Return.
- Count on the IRS. If you fall victim to a disaster, know that the IRS stands ready to help. You can call the IRS disaster hotline at 866-562-5227 for special help with disaster-related tax issues.
Additional IRS Resources:
- Preparing for a Disaster
- Publication 584, Casualty, Disaster and Theft Loss Workbook
- Publication 583, Starting a Business and Keeping Records
IRS Podcasts:
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Circular 230 Disclosure
Pursuant
to the requirements of the Internal Revenue Service Circular 230, we
inform you that, to the extent any advice relating to a Federal tax
issue is contained in this communication, including in any attachments,
it was not written or intended to be used, and cannot be used, for the
purpose of (a) avoiding any tax related penalties that may be imposed on
you or any other person under the Internal Revenue Code, or (b)
promoting, marketing or recommending to another person any transaction
or matter addressed in this communication
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