I own a rental property that was completely destroyed by fire. Insurance doesn’t fully cover the loss. Can I deduct the balance?

While casualty losses to personal use property in 2018 are not deductible unless the property is located in a federally-declared disaster area, this rule does not apply to investment property. If you itemize deductions, you can deduct the loss (Form 4684) without regard to the limits applicable to personal use losses: $100 per incident and 10% of adjusted gross income.