marctu
Employee Tax Expert

Business & farm

Well I am sorry to hear that this happened to you.  It stinks that you incurred legal costs when you granted an easement at no cost.   I am glad you won though.

 

Unfortunately, there is no way in your fact pattern that these legal costs would be deductible since you state that the legal fees were not "... directly related to the business." 

 

 

Although, I am a lawyer this should not be construed as legal advice.  I am providing a case that you should read if you want to explore the reasoning: United States v. Gilmore, 372 U.S. 39 (1963) 

 

I am again sorry that this happened to you, and thank you for your question @livnoutdoors 

 

Be well and safe!

 

Marc T.

 

Turbo Tax Expert

27 Years of Experience Helping Clients

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