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Returning Member
posted May 31, 2019 9:34:08 PM

How/where do I enter investment advisory fees as a deduction into TurboTax Business step-by-step process?

I have investment advisory fees paid to a financial planner who managed a portfolio for our LLC business.  In using TurboTax Business I could not find how or where to enter these fees as a deduction.  Please advise how to do this in TurboTax Business.

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3 Replies
Expert Alumni
May 31, 2019 9:34:10 PM

Yes, Investment advisory fees may be reported as Legal/Professional Fees under Common Business Expenses.

To navigate to this screen: Federal Taxes tab >> Deductions >> under Business Expenses, Common business expenses, click Start/Update. Legal/Professional Fees appears mid-way through the list.

Returning Member
May 31, 2019 9:34:12 PM

Doing it this way does not allocate the expense to partners' K-1s as a 2% AGI deduction.  Can anyone tell me how to do it so that it will allocate this way?

Expert Alumni
May 31, 2019 9:34:14 PM

Thank you for the clarification.
There is no option for entering Box 13 in Step-By-Step.
To enter this, go to Forms and click "Open Form."
Type in "K-1 Entry Wks", hit enter, and create a new form if needed.
Scroll down to Line 13, choose code K (description will appear for Deductions - Portfolio 2% floor). Enter the amount and tab/enter to save.
All K-1's should now display code K and the allocated amount for Box 13.