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Get your taxes done using TurboTax
if you received a settlement for back wages, your employer should have put it on a W-2. We don’t know how much your settlement was for, only you know that. What are the details of the settlement? (For example, I know a pizza place that settled with its employees and the state over back wages and unpaid mileage expenses. One third of the settlement amount was back wages and 2/3 of the settlement amount was mileage reimbursement, which are taxed differently.)
Even though you received 1099, a settlement for back wage should be reported on a substitute W-2 form. We can help you with this, but can you tell us more of the details of your settlement?
March 15, 2022
11:45 AM