Yes, the fee you pay to a CPA or tax accountant is deductible in certain cases:
-
For Individuals: If you pay a CPA to prepare your personal tax return (Form 1040), that fee is not deductible under current U.S. tax law. The Tax Cuts and Jobs Act (TCJA) of 2017 eliminated the deduction for tax preparation fees for individuals through 2025.
-
For Businesses & Self-Employed Individuals: If you are self-employed, a freelancer, or own a business, tax preparation fees are deductible as a business expense on Schedule C (Form 1040) or the relevant business tax form.
-
For Rental Property Owners: If you own rental properties, you can deduct the portion of your CPA's fee related to preparing Schedule E.
