I have a client that inherited 37.5% ownership of a closely held S-Corp.  There were 4 owners, and my client was a 22.5% owner until the inheritance.  My client hired a regional CPA firm to appraise the value of the deceased's 37.5% ownership as of DOD.  The other 2 remaining owners did not want to share in the cost of the appraisal, so my client paid the entire fee ($17,610) from their personal funds.  

My understanding is that if the decedent's estate/trust paid for the valuation, it would be an expense.  But if the recipient of the inheritance paid for the valuation personally, their only option is to add the cost ($17,610) to their initial basis in the new 37.5% ownership portion (after adjusting to the stepped-up basis).

Is that correct?  Is there any way for my client to expense the $17,610?