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Level 4
January 15, 2023
Question

Can TurboTax State (additional 2nd state purchase) and State e-filing be deducted from Cash Rent?

  • January 15, 2023
  • 1 reply
  • 20 views

We cash rent a small piece of farm land in Indiana. We live in another state all-year long. Hence, to file Indiana income tax on that cash rent, we have to purchase the Indiana state module for TurboTax as well as pay the Turbotax e-filing charge associated with Indiana. These two additional Turbotax expenses are the direct result of the income from the 100% cash rent in another state (Indiana).

 

Can these expenses be deducted from the cash rent income within TurboTax and if so where would they be entered?

    1 reply

    Level 15
    January 15, 2023

    Line 10 on Schedule E (for that property); Legal and other professional fees.

    ThemushjAuthor
    Level 4
    January 15, 2023

    Thank you. I assume then that these two expenses CAN be deducted then. Affirmative as viable expenses for deduction? Simple yes or no on this one. 🤔 🤔

    Critter-3
    Level 15
    January 16, 2023

    YES ... they are directed related.