I'm filing an 1120s for an S-corp. In 2016, the s-corp received income from a legal settlement. Can I deduct the legal fees related to that settlement?

jugestp · ‎June 1, 2019

IsabellaG · ‎June 1, 2019

Yes, legal fees to produce taxable income are deductible. You would enter your fees in Common Business Expenses. See the screenshot below.

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IsabellaG · ‎June 1, 2019

Yes, legal fees to produce taxable income are deductible. You would enter your fees in Common Business Expenses. See the screenshot below.

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jugestp · ‎June 1, 2019

Thank you so much! And there are no limits to the amount of the deduction?

IsabellaG · ‎June 1, 2019

As long as they are related to the production of taxable income, they are fully deductible.

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jugestp · ‎June 1, 2019

THANK YOU!

IsabellaG · ‎June 1, 2019

Glad to help!

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Do you have an Intuit account?