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For investment companies, this is the amount of income left after operating expenses are subtracted from total investment income. The net investment income tax went into effect in 2013 as a means of raising revenue to fund the Affordable Care Act.
Line 8860 Professional fees (includes legal and accounting fees) You can deduct fees for legal services to prepare leases or collect overdue rents. If you incur legal fees to buy your rental property, you cannot deduct them from your gross rental income (line 8299).
Use Form 8960 to figure the amount of your Net Investment Income Tax (NIIT). Controlled foreign corporation (CFC).
If your expenses are less than your income, the difference is net profit and becomes part of your income on page 1 of Form 1040 or 1040-SR. If your expenses are more than your income, the difference is a net loss. You usually can deduct your loss from gross income on page 1 of Form 1040 or 1040-SR.
Legal and professional services: You can deduct fees that you pay to attorneys, accountants, consultants, and other professionals if the fees are paid for work related to your consulting business.
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In tax years 2018 through 2025, certain sole proprietors can take deductions equal to 20% of their business income, with adjustments.
Line 8860 Professional fees (includes legal and accounting fees)
Use Form 8860 to claim the qualified zone academy bond (QZAB) credit. A QZAB is a taxable bond issued after 1997 by a state or local government, the proceeds of which are used to improve certain eligible public schools.

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