To enter legal fees in an employment discrimination case in TurboTax Online:
- Select Tax Home in the left pane
- On the Hi, let's keep working on your taxes! screen, select the dropdown to the right of Wages & Income
- Select Start, Continue, or Pick up where you left off
- Scroll down and select the dropdown to the right of Less Common Income
- Select Start or Revisit to the right of Miscellaneous Income, 1099-A, 1099-C
- Scroll down and select Start or Revisit to the right of Other reportable income
- On the Any Other Taxable Income? page, select Yes
- On the Other Taxable Income page, enter the description Qualifying Legal Fees and enter your fees as a negative amount (i.e., -5000). Then, select Continue
To see your form entry in TurboTax Online:
- Select Tax Tools in the left pane
- Select Tools
- Select View Tax Summary
- Select Preview my 1040 in the left pane
You'll see your negative entry on line 8 of Form 1040, generated from line 24h of Schedule 1.
