 So now we're looking about other itemized deductions. So now that we're in that other category, we're in the catch all type of category. Remembering this is another section where in the past, there might have been more things that could be included in it. You can imagine this would be one of those categories that would expand and detract as different people, as different lawmakers get into place and into power and wanna do different things with the tax code. Also just recall when we look at taxes, federal income taxes or an income tax system in general, we would expect the natural deduction to be those things that helped us to generate revenue, which we can see clearly on the schedule, see your business income, where we have income minus those deductions needed to generate the income taxing on the net income, not the gross income. We don't see that as clearly on the individual income tax return because most people are W2 employees, therefore don't have those business deductions because the assumption is that the employer is providing those the deductions that we do see are unnatural to a federal income tax system, meaning the government's trying to incentivize us, manipulate our behavior through the tool of the tax code. So just keeping that in mind because that's what most of the itemized deductions, that's the kind of category that they fall into. The IRS is manipulating us with the tax code in terms of whatever behavior they're trying to persuade us towards based on whatever, whoever's influence in the lawmaking. So other itemized deductions, line 16, increased standard deduction reporting. If you have a net qualified disaster loss on form 4684, line 15, and you aren't itemizing your deductions, you can claim an increased standard deduction by using schedule A by doing the following. So we noted a little bit last time on disaster losses, noting that if you have a loss related to a disaster, you would think it would not be something that you would want to only allow people who are itemizing because people who are itemizing are people that are usually gonna be more well-off individuals because they at least own a home, possibly a home in a more higher cost of living area because those are the things that are gonna push people over to itemizing, meaning they're the ones that are gonna need to be paying the loan for the mortgage interest and the property taxes. However, if there's a disaster, you would like everybody to get a benefit from it because it's one of those unusual kind of situations that you're trying to give more immediate relief, most likely relief being more important to the lower income people, those not taking the itemized deduction. So if you're gonna allow the deduction on the schedule A, then you might need an exception to be able to allow a deduction on schedule A, even though you're not itemizing but are taking the standard deduction. Okay, so list the amount from form 4684 line 15 on the dotted line next to line 16 as quote, net qualified disaster lost in quote and attached form 4684. So if you have a net qualified disaster lost in your particular location as a tax preparer, you probably wanna do your research on that situation and be ready for this kind of documentation looking possibly in more detail at the form 4684 noting that the software of course will help a lot because you'll be able to see hopefully the disaster loss listed in the software which will help you to appropriately calculate the disaster loss, but you wanna keep that in mind and it's severely restricted to being a net qualified disaster loss is what we're talking about here. So list your standard deduction amount on the dotted line next to line 16 as quote, standard deduction claimed with qualified disaster loss in quote, combine the two amounts on line 16 and enter on form 1040 or 1040 SR line 12. So net qualified disaster loss reporting. So if you have a net qualified disaster loss on form 4684 line 15 and you are itemizing your deductions, list the amount from form 4684 line 15 on the dotted line next to line 16 as net qualified disaster loss and include with your other miscellaneous deductions on line 16, also be sure to attach form 4684. So obviously if you have the qualified disaster loss and it's being reported on the schedule A if you're already itemizing you're already cleared the threshold you already own the home having the mortgage interest and the property taxes push you over then you would think the itemized deduction would be reportable on the schedule A and you would get the benefit from it because you're itemizing. It's when you're not itemizing then the question is how can the tax system be set up so that you could still get a benefit for the qualified disaster losses even though you're not itemizing because possibly you don't own a home or possibly don't own the home in a high cost of living area for example. Other itemized deductions, list the type and amount of each expense from the following list next to line 16 and enter the total of these expenses online 16 if you are filing a paper return and you can't fit all your expenses on the dotted lines next to line 16 attach a statement instead showing the type and amount of each expense most of the time these days people are using electronic software in which case you might have more ability to add a longer list to the documentation but if you need to then I think the electronic software also allows you to basically add an attachment oftentimes depending on the software. So we have the gambling losses. Gambling losses include but aren't limited to the cost of non-winning bingo lottery and raffle tickets but only to the extent of gambling women winnings reported on schedule one form 1040 line 8B if gambling winnings and losses and gambling in general sounds familiar it's because we talked about it when we thought about the income side of things in which case if you participated in some type of gambling then you might have to record the winnings as income because the general idea from the IRS perspective is that anything should be taxable in income that you receive right unless the IRS says otherwise and that would of course generally include gambling also if your income is above a certain threshold you win more than more than a certain threshold then the payer will most likely have to give you documentation about those winnings going not only to you but like with other documentations like W2s and 1099s also to the IRS and therefore you're gonna have to record it of course on the taxes because if you don't the IRS will most likely question you about it. Now if you had winnings you might say hey look I've lost a lot more money than I won if I do a lot of gambling that will often be the case what about my losses?