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Refund of attorney retainer fee - possible issue of 1099 or not
I will be receiving a $10K refund of an attorney retainer fee paid in 2022, as employment case moved to full contingency with settlement award in 2023. Attorney will refund my original $10K retainer yet I am unsure if his accountant will issue a 1099 or not for this $20K and have trouble getting my attorney to ask his accountant. He thinks I am overthinking this as the $10K would be treated as a "refund" and not "income", yet I just want his accountant to confirm that he indeed will not issue a 1099. Or, perhaps he is suppose to issue a 1099 and my attorney is incorrect. Or, even if not required, yet accidentally processes a 1099 to me, how much of an issue this would be. I am an individual...not a business. Any guidance would be much appreciated!