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How do I deduct investment advisory fees paid for professional investment services on my IRA,? |
An IRA, by definition, is deferred tax account. However, I did not use money inside the IRA to pay for the fee. I used "other money" from a non-IRA brokerage account. What is the form I use to list my fee's (paid about $8K in 2007). Correct. It goes on Schedule A and is limited to 2% of your adjusted gross income. This is shown as an itemized deduction on schedule A of your 1040. You would have to itemize deductions to get a tax benefit for this payment You are allowed to deduct ordinary and necessary expenses. If questioned you would have to demonstrate that the $8,000 was an ordinary and necessary expense. |
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