eva
Level 3
12-07-2019
09:07 AM
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Client had a loan modification of $172K on a rental property. Received a 1099-C.
Can the legal fees associated with the loan modification be deducted on Sch E?
Thank you, Gurus
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George4Tacks
Level 15
12-07-2019
09:07 AM
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Generally legal fees for the protection or production of income are deductible, so I would say yes.
Here's wishing you many Happy Returns
eva
Level 3
12-07-2019
09:07 AM
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Thank you for your answer. I was also told to amortize it over the life of the loan
