Accounting and legal fees

You can deduct reasonable accounting fees you paid for help preparing and filing your return.

You can deduct legal fees you paid in the year to collect or establish a right to collect salary or wages. Under proposed changes, you can also deduct legal fees you paid in the year to collect or establish a right to collect any amount that, if received, you would include as employment income on your return. However, you have to reduce your claim by any amount awarded to you or any reimbursement you received for your legal expenses.

You do not have to meet the conditions of a commission employee to deduct legal fees.

Note
A completed Form T2200, Declaration of Conditions of Employment, is not required when claiming this expense.

Completing your tax return

Enter this amount on the Accounting and legal fees line (8862) of Form T777, Statement of Employment Expenses.

Enter on line 229, the allowable amount of your employment expenses from the total expenses line of Form T777.

Forms and publications

• Form T777, Statement of Employment Expenses
• IT99, Legal and Accounting Fees