George is single and has adjusted gross income of $37,000. He discovers termites in the basement of

Question:

George is single and has adjusted gross income of $37,000. He discovers termites in the basement of his house and pays $6,200 to fix the damage. His insurance company will not reimburse him for the damage.
Identify the tax issue(s) posed by the facts presented. Determine the possible tax consequences of each issue that you identify.