TaxBox Newsletter

Keep up-to-date with important tax tips and article updates.

Join TaxBox

Not a member yet? Join the voice of thousands of taxpayers. Ask questions, get answers, receive tips & stay involved. Join TaxBox

TaxBox Search

Search TaxBox articles and knowledge base:

Bad Debts

ABCDEFGHIJKLMNOPQRSTUVWXYZ

Definition of Bad Debts:

Any debts owed to you that become uncollectable, for one reason or the other, may be written off as bad debt deduction. Debts eligible include those that are legally binding and related to business activity. You cannot claim a deduction if you lend a friend $20 and they never pay you back.