Not sure if my question was fully answered. While I understand that legal fees are typically not deductible; it is my understanding that if you must incur legal fees (after tax dollars) to obtain pretax dollars, that those legal fees can be deducted from the proceeds of the IRA. Is that correct? In short, I hired an attorney out of pocket to settle an estate involving an IRA of my wife. Once the IRA was finally transferred to me, must I now pay taxes a second time on that portion of the new pretax funds?
