It's that time of year again. We're at the height of tax season. While many have filed already, countless others are still crunching numbers. And let's face it, yearly changes to tax codes, income bracket thresholds, withholdings and more can make this process tricky. One figure you might want to make note is if you incurred any legal fees during the year. They just might be tax deductible. However, they are most likely not, especially when it comes to personal legal matters.
According to the IRS, any legal fees related to personal issues can't be included in itemized deductions. These include, but are not limited to:
So, what legal fees can be deducted from taxes? The IRS provides the following guidance:
Additionally, the following legal fees, although not associated with your workplace, are also deductible:
If you still have questions on what legal fees can and cannot be deducted, contact a tax preparation professional or visit irs.gov.
Live in Central Florida and need legal help? Contact Woodard & Ferguson, Attorneys at Law for a consultation.