If my business was sued, can I deduct the amount in any way?

[SweetieJean]

What amount? Lawyer feess? Settlement?

[ktowlesjr]

Lawyer fees and the settlement.

[bwa]

It depends on what the lawsuit was for.  Some are deductible and some are not.  You need to be more specific?

[ktowlesjr]

Ok,  I have a contacting businesses and I had a job out of town and hired gut in that city.  Long story short, they didn't finish and took all the supplies and the home want finished.  I was in China on business, so I couldn't get there to do it nor did I know till I returned.  He sued me for 12,000 which included material and labor.  Hope that's explains it somewhat without going to deep.
Thanks

[bwa · Accepted solution]

Based on the facts in your added situation, those costs would be a deductible business expense.  If a sole proprietorship, it would be a schedule C deduction under an appropriate category.

[ktowlesjr]

It's an llc, still deductible?  Last question, thank you for your assistance.

[bwa]

It would make no difference if it is an llc treated as a sole proprietorship (i.e., a single member llc that has not elected to be taxed as a corporation.)

[ktowlesjr]

Thank you very much