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cbp13
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Can I deduct legal fees incurred at closing on a rental property? What about legal fees for setting up the companies (multi-member llc and a wholly-owned subsidiary)?

I know state & county tax "stamp" fees from closing get added to total cost of the property for depreciation rather than being deducted here, but what about legal fees?  I also set up the company(ies) in 2017 - can I deduct those costs at this point (screenshot) too?

2 Replies

Can I deduct legal fees incurred at closing on a rental property? What about legal fees for setting up the companies (multi-member llc and a wholly-owned subsidiary)?

All costs to purchase the property is added to the basis. 

Can I deduct legal fees incurred at closing on a rental property? What about legal fees for setting up the companies (multi-member llc and a wholly-owned subsidiary)?

Cost to set up the partnership is not deducted on that screen ... they go on the deductions tab later.
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