Can I deduct attorney fees

[jerry2000 · Accepted solution]

Legal fees are generally not deductible. The two exceptions are for legal fees incurred to determine or collect any tax liability, and legal fees expended to secure taxable income.
No other legal fees are deductible.

[nekro_fox]

So if I paid an attorney to settle taxes owed for previous years--would these fees be deductible?

[jerry2000]

What kind of taxes?

[nekro_fox]

I run a small business which for a couple of years did not file federal taxes for since I had just started and had no organization at the time. I filed the taxes late after organizing a couple of years later along with the current year's filing as well.  I then got a huge bill from the IRS for back taxes owed and hired an attorney to come together on a settlement for all three years.

[browncarrs]

is there a limit on the legal fees?

[Pwhite7408]

Can I claim legal fees to get alimony or separation pay?

[Mike9241]

Legal fees that are NOT deductible
Any legal fees that are related to personal issues can't be included in your itemized deductions. According to the IRS, these fees include:

Fees related to nonbusiness tax issues or tax advice.
Fees that you pay in connection with the determination, collection or refund of any taxes.
Personal legal expenses, including:
Child custody
Purchasing real estate
Breach of promise to marry
Civil or criminal charges related to personal relationships
Personal injury
Title preparation
Estate planning such as will preparation
Property claims or settlements
Divorce
Fees for defending civil or criminal charges that arise from your participation in a political campaign