Legal and professional fees, such as fees charged by accountants,that are ordinary and necessary expenses directly related to operatingyour business are deductible on Schedule C or C-EZ. However, youusually cannot deduct legal fees you pay to acquire business assets.Add them to the basis of the property. If the fees include payments for work of a personal nature (such asmaking a will), you can take a business deduction only for the part ofthe fee related to your business. The personal portion of legal feesfor producing or collecting taxable income, doing or keeping your job,or for tax advice may be deductible on Schedule A (Form 1040) if youitemize deductions. For more information, see Publication 529,Miscellaneous Deductions.. Tax preparation fees.You can deduct on Schedule C or C-EZ the cost of preparingthat part of your tax return relating to your business as a soleproprietor. You can deduct the remaining cost on Schedule A (Form1040) if you itemize your deductions. Netherlands TripsYou can also deduct on Schedule C or C-EZ the amount you payor incur in resolving asserted tax deficiencies for your business as asole proprietor or statutory employee. | 
