Deductions

csejme2 — Sat, 13 Mar 2021 20:37:43 GMT

Am I able to deduct legal fees for work on being released from a Timeshare?

Re: Deductions

ToddL99 — Sat, 13 Mar 2021 21:29:51 GMT

Unfortunately you cannot deduct the legal fees for terminating a timeshare used for personal-use. If this had been an active rental property, you may be able to deduct some of the legal costs.

As a general rule, you can only deduct legal fees that were incurred in generating taxable income (see the following examples).

Legal Fees you can deduct:

Court costs and attorney fees related to either doing or keeping your job, including back pay, injury to reputation, and unlawful discrimination claims
Costs of collecting taxable alimony or arranging details of alimony payments
Fees for tax advice related to a divorce, if the bill specifies how much is for tax advice. You cannot deduct any other legal fees related to a divorce or child support since they are personal expenses not related to taxable income.
Fees for personal injury actions where you recover taxable damages
Estate tax planning fees related to tax planning or income-producing property
Costs of collecting taxable Social Security benefits
Fees to recover income-producing property such as stocks or bonds loaned as collateral

topic Deductions in Deductions & credits

Deductions

Re: Deductions