Realtor Dues - confused about deductible and non-deductible lingo (percent, fee, disclose)

[BigV]

Hi All,

I was under the impression that all dues are deductible as a business expense when the dues are mandatory.
2010 and 2011 National Dues, Nondeductible Dues, Nondeductible Dues

Nondeductible Dues

Compliance with the Tax Reform Act of 1993 requires that the portion of dues attributable to lobbying and political activities at the State and Federal levels of government be considered nondeductible for income tax purposes. This nondeductible portion must be disclosed to members on their dues invoice each year.[SIZE=2]
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For 2012, with dues at $120 per member, NAR computes 31 percent or $37 to be nondeductible for the member's income tax purposes due to NAR lobbying efforts. Please note that the entire $35 Public Awareness Campaign special assessment qualifies as fully deductible.

For 2013, with dues at $120 per member, NAR computes 36 percent or $44 to be nondeductible for the member's income tax purposes due to NAR lobbying efforts. Please note that the entire $35 Public Awareness Campaign special assessment qualifies as fully deductible.

I'm confused about this mention of 'nondeductible', since I'm also aware of some associations stating the following:
https://tranq3.tranquility.net/~cbor...TICE%20_3_.pdf

4. Dues payments are not deductible as charitable contributions for income tax purposes. However, dues payments may be deductible as an ordinary business expense. It is recommended that you contact your personal tax adviser about business deductions.

[Brandon Hoffman]

Check with your accountant.

[NinaN]

They are helping you identify the money you are required to give them that they pay for lobbying (which isn't deductible). Check with your CPA or tax advisor.

[austin-steve]

I deduct all of my dues. Been audited twice and never had the dues flagged by a examiner who wanted to split it out or dig deeper. If they did, I wouldn't argue with them about it. In the grand scheme of things, I think it's a stupid distinction and I'm not willing to spend time trying to comply.

Anyway, there are bigger numbers the IRS wants to know about during an audit, mainly advertising, meals and entertainment, auto expenses and referral fee payouts. The sort of stuff that people commonly inflate and cheat on.

Steve

[DMenscha]

Gee, I'm missing out on a tax deduction. I don't miss the effect on my bottom line.