Are the legal fees incurrred (paid) for collection of Social Security Benefits deductible?
Personal legal fees are not, generally, deductible. However you may deduct legal fees for the production or collection of taxable income. The portion of the legal fees that is deductible would be proportional to the amount of Social Security Benefit collected that is taxable. Such deduction would be taken on line 22 of Form 1040, Schedule A, Itemized Deductions, subject to the 2% of Adjusted Gross Income Limitation. For more information, refer to Publication 529, Miscellaneous Deductions, and Publication 915, Social Security and Equivalent Railroad Retirement Benefits.
