College Admissions Scandal Update: Lori Loughlin Denied Ability To Obtain Unique Financial Benefit
New questions continue to arise surrounding "Fuller House" actress Lori Loughlin and her participation in the ongoing college admissions scandal.
Both Loughlin and her husband Mossimo Giannulli have been charged with mail and wire fraud, honest services mail and wire fraud, and conspiracy to commit federal programs bribery after allegedly paying Rick Singer $500,000 so that their daughters could attend the University of Southern California (USC).
Now, some are wondering if Loughlin could write off her legal fees if her career proved to be affected by the admissions scam.
According to Forbes, even though it seems as though paying various amounts to improve or save her career may seem like it could be classified as business expenses, that may not be the case. Per the publication, "how taxpayers fare depends on the facts, the origin of the dispute, and what motivated the payment." Additionally, the outlet stated that the new tax code gives no deduction for legal fees, even if someone's career is "dramatically impacted."
Continuing, Forbes stated that even though Loughlin's earning potential may be changed as a result of the legal hurdles, the IRS would say that the origin of the dispute would be purely personal. Therefore, this would mean that the fees would be "non-deductible, no matter how high they are."
READ: College Admissions Scandal Update: USC Didn't Deny Rick Singer's Request, But This School Did
Both Loughlin and Giannulli have pleaded not guilty to all charges. However, prosecutors claim that they have acquired an invoice from Giannulli to his account where he stated that he had to "work the system" in order to help his daughters obtain admission. It has also been reported that their daughter Olivia Jade could potentially face "catastrophic" consequences in the future.
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