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Level 1
posted Feb 23, 2023 3:12:10 PM

Can I report a fine as a deduction?

I had to pay my energy company for the repair of a damaged wire on my property. The person who handled my claim said I could write this off as a deduction. Is this true?

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2 Best answers
Expert Alumni
Feb 23, 2023 3:23:54 PM

No. 

 

This repair cost in your home is not tax deductible.

 

If the repair was done on your business facility then it would be deductible as a business expense.

Expert Alumni
Feb 23, 2023 4:04:17 PM

No.  Repairs, fines, penalties, etc. are not deductible for personal property.  Personal property expenses are not tax deductible other than mortgage interest and property taxes when you itemize your return. 

 

If this was a business property, then yes, the repair fee/penalty from your energy company would be tax deductible.

3 Replies
Expert Alumni
Feb 23, 2023 3:23:54 PM

No. 

 

This repair cost in your home is not tax deductible.

 

If the repair was done on your business facility then it would be deductible as a business expense.

Level 1
Feb 23, 2023 3:49:15 PM

It wasn't a repair we requested. It was a penalty/fine. It was a claim against us. 

Expert Alumni
Feb 23, 2023 4:04:17 PM

No.  Repairs, fines, penalties, etc. are not deductible for personal property.  Personal property expenses are not tax deductible other than mortgage interest and property taxes when you itemize your return. 

 

If this was a business property, then yes, the repair fee/penalty from your energy company would be tax deductible.