According to the courts such preventative steps are not. If under a particular set of facts the formation of mold is a sudden unexpected unusual and identifiable event that caused damage to the individual s property then it would qualify as a casualty and the individual may be entitled to deduct the loss for the resulting property damage as a casualty loss under section 165 c 3 if the individual satisfies the other requirements for the deduction. Generally prior to 2018 to be deductible under section 165 of the internal revenue code a casualty loss must have been the result of a sudden unexpected or unusual event such as a fire flood hurricane etc and the loss must not have been covered by insurance or some other source.
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