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Anonymous
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Accounting fees

Are accounting fees deductible in Schedule A for work my accountant did to complete and file IRS Form 706?

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3 Replies

Accounting fees

No

Accounting fees

Costs you pay to an accountant to prepare your tax returns are a miscellaneous itemized deduction subject to the 2% rule. That deduction was eliminated from federal taxes for 2018 through 2025. I believe you can still list the expenses in TurboTax, because some states follow the old rules about itemized deductions, and after you list the deductions in the federal section, they will flow downhill to the state return.   But they won’t be deductible on your federal return.  And you may not receive any benefit on your state tax return, depending on the total amount of your itemized deductions and your income.

Accounting fees


@Anonymous wrote:

Are accounting fees deductible in Schedule A for work my accountant did to complete and file IRS Form 706?


Expenses incurred in this context would be deductible on Form 706 or Form 1041 (if the latter is required to be filed).

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