Can the cost of auto trading software for FOREX trading be subtracted from resulting gains and losses when reporting?

[cpugh780]

I purchased Copy Trade software and it automatically enters and closes trades. Can the cost of this be subtracted from Gains or Losses? How to report this?

[CarolynM · Accepted solution]

No, but it is an Investment Expense to be included as a itemized deduction. 

To enter in TurboTax: 

Go to Deductions & Credits

Scroll to Retirement and Investments

Click Other Investment Expenses

These expenses must be more than 2% of your AGI to be deductible, so you may not see a difference in your calculations. 

For more information, see page 8 of IRS publication 529 here: Misc Expenses