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I have an account at Buy and Hold, and they charge $6.99 per month. This includes two trades per month, and additional trades are $2.99.

My understanding is that investment expenses are only deductible to the extent they exceed 2% of AGI, so I have never deducted any.

For years I made exactly two purchases every month, so that I used up the "free" trades. Since additional trades are $2.99, can I allocate the $6.99 fee into 2.99 commission for trade 1, 2.99 commission for trade 2, and 1.01 for investment expense? Once stock I bought every month for 5 years, so if I can do this it would decrease my gain by $179.40 (60 months * 2.99

Is this legit? It seems to me that calling it a monthly fee, rather than actually charging commissions should not change the tax treatment, but I don't know for sure.

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