thx @Mike9241 Thx Mike. I kind of understand your point. However for offsetting amount, how much it should be? In my case if the offset amount is my upfront lease payment $5500, then $15000-$5500=$9500 is the taxable amount. However you mentioned attorney fees are not deductible, which is $10000. Does this mean I should offset $5000?
Besides, I'm still confused why I should pay taxes for the amount that goes to attorneys?
