Can I deduct legal fees and mediation costs?

buyer sued because Township official"s opinion on property usage differed from County tax assessor's published opinion.

posted

No, unfortunately, not in this case

Legal fees are generally not deductible on a personal 1040..
There are three significant exceptions
• To produce or collect taxable income.
• To determine, contest, pay, or claim a refund of any tax.
• To receive tax advice and tax planning