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Get your taxes done using TurboTax
Payments to employees stemming from employment-related claims that are wage-based are reported on a W-2. If the settlement agreement does not clearly allocate an amount for attorney's fees, then the entire amount is subject to FICA taxes and reported on the W2. If the agreement does allocate the attorneys fees, you will receive a 1099-MISC for that amount in addition to the W2.
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‎February 1, 2023
6:56 PM