A client read our newsletter about business vs. personal loss and told a friend who had lost over $250k on a truck stop that went bankrupt. His prior CPA had been deducting his losses of $3,000 per year as a “capital” loss when it should have been a “business” loss. We filed amended returns, claimed 100% deduction and recovered past taxes that had been paid.
Recovery to client: approximately $75,000 in past paid taxes.