Accidents happen, disasters happen, the unfortunate happensbut do tax deductions for them happen?

Accidents happen, disasters happen, the unfortunate happens—but do tax deductions for them happen? (Although these may all be very unpleasant events, perhaps some good can come of them in the form of a tax or loss deduction). Describe one basic category of such deductions or losses, and provide us with an example of it as well. (As you know, an illustration often serves to make an otherwise difficult concept clearer). Don’t forget to explain any substantial limitations on the particular deduction and how the amount of the deduction is calculated—those are the types of important details that we’ll be focusing on as we proceed through the tax law in this course