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Old 01-22-2008, 11:05 AM
parrisbraeside@yahoo.ca
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Default Re: Are legal fees for immigration (employer-sponsored) taxdeductible?

While several people may find doing their own taxes worthwhile, I
would suggest that this would be a case that hiring a specialist would
be financially better. The variety of situations that are occurring
and the lack of knowledge generally suggest this is a case where an
specialist is better. After two years, you will find the tax
complexity will be reduced and using software or doing oneself would
be cheaper.

--
<< ------------------------------------------------------- > << The foregoing was not intended or written to be used, > << nor can it used, for the purpose of avoiding penalties > << that may be imposed upon the taxpayer. > << > << The Charter and the Guidelines for submitting posts > << to this newsgroup as well as our anti-spamming policy > << are at www.asktax.org. > << Copyright (2007) - All rights reserved. > << ------------------------------------------------------- >
  #2  
Old 01-21-2008, 08:37 PM
Dick Adams
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Default Re: Are legal fees for immigration (employer-sponsored) tax deductible?

Paul Thomas, CPA <paulthomascpapc[at]bellsouth.net> wrote:
- quote -

> "pallav" <pallavgupta[at]gmail.com> wrote

> > The US tax system is too complicated.


> Most all the complications are caused by deductions
> and exemptions from income, or for tax credits.


Most of the complications are caused by tax simplification.

Dick

--
<< ------------------------------------------------------- > << The foregoing was not intended or written to be used, > << nor can it used, for the purpose of avoiding penalties > << that may be imposed upon the taxpayer. > << > << The Charter and the Guidelines for submitting posts > << to this newsgroup as well as our anti-spamming policy > << are at www.asktax.org. > << Copyright (2007) - All rights reserved. > << ------------------------------------------------------- >
  #1  
Old 01-21-2008, 02:17 PM
Paul Thomas, CPA
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Default Re: Are legal fees for immigration (employer-sponsored) tax deductible?


"pallav" <pallavgupta[at]gmail.com> wrote
- quote -

> I am preparing my tax return. I have two questions. I am an
> international person and I just started working in the US.
> 1. My employer sponsored me for the H1 visa. They paid all the
> application fees. However, when it did get approved by INS (USCIS) I
> traveled to Canada to get the visa stamp. However, I incurred about
> $3500.00 of travel expenses related to my visa stamp (since the US
> consulate did some background checks and I was stuck there for 3
> weeks). Since this stamp is for being able to work in the USA
> (employer-related), would it qualify as a tax-deductible?
> 2. I have also paid legal fees of about $7000 (lawyer feels +
> application filing fees) to a lawyer for employer-sponsored permanent
> residency (green card) for the US. Would this qualify as a tax-
> deductible event?
> I am using Turbo Tax where it says, "eligible expenses include court/
> attorney fees related to either doing or keeping your job" are
> deductible.




The expenses you incured are to ~~~~obtain~~~~ employment in the US.
Non-deductible.

There's a very hard line drawn on that difference.



- quote -

> I think I have a case for the above since I would not be
> authorized to work legally in the US without the above
> but I am not sure. Can someone please advise.




There you have it. It's clearly an expense incured to obtain the job - not
deductible.





- quote -

> The US tax system is too complicated.


Most all the complications are caused by deductions and exemptions from
income, or for tax credits.





--
Paul A. Thomas, CPA
Athens, Georgia

--
<< ------------------------------------------------------- > << The foregoing was not intended or written to be used, > << nor can it used, for the purpose of avoiding penalties > << that may be imposed upon the taxpayer. > << > << The Charter and the Guidelines for submitting posts > << to this newsgroup as well as our anti-spamming policy > << are at www.asktax.org. > << Copyright (2007) - All rights reserved. > << ------------------------------------------------------- >
 
Old 01-21-2008, 01:32 PM
Bill Brown
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Posts: n/a
Default Re: Are legal fees for immigration (employer-sponsored) taxdeductible?

On Jan 21, 6:24*am, pallav <pallavgu...[at]gmail.com> wrote:
- quote -

> Good evening.
> I am preparing my tax return. I have two questions. I am an
> international person and I just started working in the US.
> 1. My employer sponsored me for the H1 visa. They paid all the
> application fees. However, when it did get approved by INS (USCIS) I
> traveled to Canada to get the visa stamp. However, I incurred about
> $3500.00 of travel expenses related to my visa stamp (since the US
> consulate did some background checks and I was stuck there for 3
> weeks). Since this stamp is for being able to work in the USA
> (employer-related), would it qualify as a tax-deductible?
> 2. I have also paid legal fees of about $7000 (lawyer feels +
> application filing fees) to a lawyer for employer-sponsored permanent
> residency (green card) *for the US. Would this qualify as a tax-
> deductible event?
> I am using Turbo Tax where it says, "eligible expenses include court/
> attorney fees related to either doing or keeping your job" are
> deductible. I think I have a case for the above since I would not be
> authorized to work legally in the US without the above but I am not
> sure. Can someone please advise.


The IRS interpretation of the law, which may be exactly correct, is
that such expenditures are non-deductible personal items.

--
<< ------------------------------------------------------- > << The foregoing was not intended or written to be used, > << nor can it used, for the purpose of avoiding penalties > << that may be imposed upon the taxpayer. > << > << The Charter and the Guidelines for submitting posts > << to this newsgroup as well as our anti-spamming policy > << are at www.asktax.org. > << Copyright (2007) - All rights reserved. > << ------------------------------------------------------- >
  #-1  
Old 01-21-2008, 10:24 AM
pallav
Guest
 
Posts: n/a
Default Are legal fees for immigration (employer-sponsored) tax deductible?

Good evening.

I am preparing my tax return. I have two questions. I am an
international person and I just started working in the US.

1. My employer sponsored me for the H1 visa. They paid all the
application fees. However, when it did get approved by INS (USCIS) I
traveled to Canada to get the visa stamp. However, I incurred about
$3500.00 of travel expenses related to my visa stamp (since the US
consulate did some background checks and I was stuck there for 3
weeks). Since this stamp is for being able to work in the USA
(employer-related), would it qualify as a tax-deductible?

2. I have also paid legal fees of about $7000 (lawyer feels +
application filing fees) to a lawyer for employer-sponsored permanent
residency (green card) for the US. Would this qualify as a tax-
deductible event?

I am using Turbo Tax where it says, "eligible expenses include court/
attorney fees related to either doing or keeping your job" are
deductible. I think I have a case for the above since I would not be
authorized to work legally in the US without the above but I am not
sure. Can someone please advise.

3. Finally, I'm wondering should I do a itemized-deduction or a
standard deduction. I don't own a home etc. The only itemized-
deduction I have are charity contributions ($300), moving expenses
($100), Roth IRA contributions ($4000), and if the above legal fees
are deductible. If so, then I think the itemize-deduction would lower
my overall income. Can someone help?

Thank you for your time. The US tax system is too complicated.

--
<< ------------------------------------------------------- > << The foregoing was not intended or written to be used, > << nor can it used, for the purpose of avoiding penalties > << that may be imposed upon the taxpayer. > << > << The Charter and the Guidelines for submitting posts > << to this newsgroup as well as our anti-spamming policy > << are at www.asktax.org. > << Copyright (2007) - All rights reserved. > << ------------------------------------------------------- >
 

Tags
deductible, employersponsored, fees, immigration, legal, tax
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