Can I deduct the advisor and account fees for my rollover retirement account. I pay taxes on the RMD (req. min. dist) each year.?

[MinhT · Accepted solution]

It depends.

If the advisor and account fees are debited to your retirement account, then you cannot deduct as all earnings, dividends and expenses within the retirement account are tax-deferred.

If you pay these fees separately outside of your retirement account, you can deduct them as investment expenses.

To deduct investment expenses in TurboTax, follow these steps:

• Open your return and click on Federal in the left-hand column
• Click on Deductions & Credits on top of the screen
• Under All Tax Breaks, locate the Retirement and Investments section and click Show More
• You will find two expenses sections:
  Investment Interest Expenses - If you borrow money to finance investments, the interest you pay is considered investment interest. If you have investment interest expense, you can deduct it up to the amount of your net investment income.
  Other Investment Expenses - To qualify for this deduction, your investment and other miscellaneous expenses have to exceed 2% of your adjusted gross income (AGI).