Yes, you can deduct the attorney fees included as part of your SSDI income.
To enter the adjustment:
Go to Less Common Income, Miscellaneous Income and Other reportable income. Enter "Lawsuit settlement" in the Search Box and Select "Jump to lawsuit settlement" "to get to this screen ("Lawsuit settlement" is just an effective search term to get to this interview screen)
Continue to the screen "Other Taxable Income". Enter the description as "Attorney Fees" and the amount as a negative number. Entering "-$ XXXX" here will offset the attorney fees included in your SSDI award. These are NOT wages.
A corresponding negative amount will be entered on line 8 of Schedule 1.
