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June 1, 2019
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Can I claim expenses maid to Tax Defense last year for doing overdue tax returns and making a repayment plan for me. I paid them $3,500 to do this.

  • June 1, 2019
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Best answer by CherylW

You can deduct the amount paid for preparing and filing your returns, but not for setting up a payment plan.

This, from IRS Publication 529:

Tax Preparation Fees

You can usually deduct tax preparation fees on the return for the year in which you pay them. Thus, on your 2016 return, you can deduct fees paid in 2016 for preparing your 2015 return. These fees include the cost of tax preparation software programs and tax publications. They also include any fee you paid for electronic filing of your return. See under How To Report, later. Tax preparation fees

1 reply

CherylWAnswer
Employee
June 1, 2019

You can deduct the amount paid for preparing and filing your returns, but not for setting up a payment plan.

This, from IRS Publication 529:

Tax Preparation Fees

You can usually deduct tax preparation fees on the return for the year in which you pay them. Thus, on your 2016 return, you can deduct fees paid in 2016 for preparing your 2015 return. These fees include the cost of tax preparation software programs and tax publications. They also include any fee you paid for electronic filing of your return. See under How To Report, later. Tax preparation fees