Discussion:Legal Expenses related to sold rental
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Discussion Forum Index --> Advanced Tax Questions --> Legal Expenses related to sold rental
Discussion Forum Index --> Tax Questions --> Legal Expenses related to sold rental
| 25 August 2009 | |
| My client sold a rental property in 2006. In 2007, new owners suing over property line issue. My client incurred approximately $1,000 in legal expenses in 2007 and about $9,000 in 2008. I am trying to determine if I can deduct on schedule E or elsewhere. Any advice would be appreciated. | |
| August 25, 2009 | |
| There was a similar discussion recently.....
OK found it - see if this helps http://www.taxalmanac.com/index.php/Discussion:Schedule_E_Expenses_after_sale_of_property%3F Oops, that isn't the one I remember. Try the search box | |
| August 25, 2009 | |
| Sigh, can't find the one I'm remembering.
I believe Riley answered that the current expense would follow where you would have taken it if paid in the year of sale. | |
| 25 August 2009 | |
| Rev. Rule 67-12 addresses a trade or business but not exactly like the one you pose. | |
| August 25, 2009 | |
| It wasn't Riley - and I can't find the discussion I'm chasing around in my head.....sorry. | |
Death&Taxes (talk|edits) said: | 25 August 2009 |
| You might look at these two:
Discussion: Installment Sales (Post-Sale Expenses) Discussion: Basis of capital asset for expenses incurred post sale Note Riley's Arrowsmith Doctrine in the latter. | |
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