Municipal Snow Fine Tax Deductible?

[John K.]

My account called me....  So we (landlord) received fines of $255 for our tenants failing to shovel the sidewalk.  I promptly wrote a check for the fines, and then sent my tenant a bill for the fines.  My tenants paid me for the fines.

My accountant is saying that Municipal Fines are not tax deductible.  So I can't deduct the expense of municipal fines...  Since I billed it back to my tenant I told him that they basically cancel each other out (revenue / expense of $255). 

Is this true?  Do I now have to pay taxes on income of $255 when I can't deduct the $255 as an expense?  

For fun, I'd also love to hear if anyone else has good stories for what their accountant gave them trouble with doing...