Yes, you can deduct it as an investment expense. To deduct investment expenses, you must have enough itemized deductions (ie. Medical, mortgage interest, property taxes, charitable giving, ect) to exceed your Standard Deduction. If you itemize, your deduction is limited to the extent that it exceeds 2% of your Adjusted Gross Income.
To report investment expenses in TurboTax:
- Click Tax Tools in the black bar to the left of your screen.
- Select Tools.
- In the pop up window, select Topic Search.
- In the search bar, type in investment advisor fees and hit enter
You will arrive at the Other Investment Expenses page, click on Yes
On the next screen you can enter it in the box by Investment Advisor Fees
Your deductions for investment expenses may be limited by:
The at-risk rules,
The passive activity loss limits,
The limit on investment interest, or
The 2% limit on certain miscellaneous itemized deductions.
Publication 550 (2016), Investment
Income and Expenses
