Are tax preparer's fees tax deductible in New York State?

Question

My accountant does my taxes every year. He charges me $350. Is that amount, the "tax prep fee", deductible on my return? I'm thinking about doing them myself for '07 with Turbo Tax...but if the cost of having him do them is deductible, then I'll just stick with the accountant. I don't want to ask him directly cuz I don't want him to know that I may not be using his services again.

Answer 1

If you are itemizing your deductions on the Schedule A rather than taking the Standard Deduction for your filing status,

You can usually deduct tax preparation fees in the year you pay them. Thus, on your 2006 return, you can deduct fees paid in 2006 for preparing your 2005 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. However, if you paid your tax by credit card, you cannot deduct the convenience fee you were charged.

Deduct expenses of preparing tax schedules relating to profit or loss from business (Schedule C or C-EZ), rentals or royalties (Schedule E), or farm income and expenses (Schedule F) on the appropriate schedule. Deduct expenses of preparing the remainder of the return on Form 1040, Schedule A, line 21, or Form 1040NR, Schedule A, line 10.


Publication 529
http://www.irs.gov/publications/p529/index.html

Answer 2

I think it is in all states, but your accountant charging you so much money should know that and work better in your benefit. Don't be hesitant to ask him any question. This is your money you talking about. I'm sure that accountant don't want to lose your business and will do everything to keep you as his customer.

Answer 3

yes

Answer 4

no it is not