cpabsd Posted March 29 Report Share Posted March 29 I think my brain is just tired... are the legal fees associated with collecting SS disability income deductible? 85% of the benefits are taxable for all years... I know the lump sum calculation but for this client, it doesn't change anything. Bonnie Quote Link to comment Share on other sites More sharing options...
kathyc2 Posted March 29 Report Share Posted March 29 They were deductible in past as part of 2% items on Sch A. Quote Link to comment Share on other sites More sharing options...
Randall Posted March 29 Report Share Posted March 29 Don't they pay the attorneys directly now and the amounts on the 1099-SSA net of those fees? Quote Link to comment Share on other sites More sharing options...
kathyc2 Posted March 29 Report Share Posted March 29 15 minutes ago, Randall said: Don't they pay the attorneys directly now and the amounts on the 1099-SSA net of those fees? It doesn't reduce the Box 5 benefits. It does show in the box that explains the difference between Box 5 benefits and the amount paid, same as Medicare or tax withheld. Quote Link to comment Share on other sites More sharing options...
Recommended Posts
Join the conversation
You can post now and register later. If you have an account, sign in now to post with your account.