I have 2 lawsuits. One was for work related discrimination where I was an employee and the other was for a company I worked as a sub-contractor (1099).
On the 1st on, we recovered back wages and damages for sex discrimination and whistle blower. I'm thinking it's not subject to the 2% rule and should be listed on the 1040.
On the 2nd one, we recovered wages that should have been paid as an employee and not as a sub-contractor. I am thinking it should be listed on the Schd. C under legal expenses.
This is for 2016 tax year.
