Financial Information
Are investment advisory fees tax deductible?
Question : Are investment advisory fees tax deductible?
I use Turbo tax and I am trying to put in my financial planners investment advisory fees. Does anyone know if these are tax deductible? I put them in one spot but it seems to not have an effect on the tax return. Looks like they might need to be more than 2% of adjusted gross income before they take effect.
investment planner
Best answer:
Answer by PepsiLime
You have put them in the correct spot. If you have any other deductions that belong there you can also enter them there. Among those would be, safety deposit box fee, the cost of the turbo tax program, union dues, unreimbursed employee expenses, form 2106 expenses. If the total of all of those adds up to more than 2% of your AGI then you can deduct the excess, if not, then you have no deduction.
That is correct – they are subject to the 2% limitation as a Schedule A miscellaneous deduction (investment expenses), but only if you itemize.
In addition, investment advisory fees are subject to investment income limitations as well.