Tax Losses Related to the Russia-Ukraine War

Russia's invasion of Ukraine was met with heavy sanctions, strategic boycotts, and financial countermeasures. While the actions were aimed at addressing an immediate danger in a discrete geographic area, they will have a ripple effect that will impact taxpayers globally. Among the potential impacts are physical loss of assets as well as losses caused by issues with supply chains, contracts, intangibles, and investments. Losses sustained for business or investment property under war conditions are deemed casualties under the I.R.C. Sec. 165 loss rules.

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