On form 8960, miscellaneous investment expenses on line 9c can be deducted only to the extent these items are deductible in Schedule A. As the new tax law has suspended the itemized miscellaneous deduction, these expenses are not deductible on form 8960 either.
Please see these IRS instructions for form 8960, especially on page 19.
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Line 9c—Miscellaneous Investment Expenses Investment expenses you incur that are directly connected to the production of investment income are deductible expenses in determining your net investment income. Generally, these amounts are reported on Form 4952, line 5. See Form 4952 for the instructions for line 5 for more information. The amounts reported on line 9c are the amounts allowable after the application of the deduction limitations imposed by sections 67 and 68.
4952 line 5 instructions
Line 5 Investment expenses are your allowed deductions, other than interest expense, directly connected with the production of investment income. For example, depreciation or depletion allowed on assets that produce investment income is an investment expense. Include investment expenses incurred directly by you or reported to you on Schedule K-1 from a partnership, or by an S corporation, but only if you are allowed a deduction on your return for the expense.
The TCJA of 2018 (in effect through 12/31/2025 unless extended) affect the deductibility of investment management fees. The law doesn’t allow deductions of investment management fees and other related expenses. These include:
Financial advisor fees Custodial fees for individual retirement accounts (IRAs) and other investment accounts Accounting costs Fees paid for legal counsel and tax advice Rental fees for a safe deposit box Investment publication subscription costs