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Retirement tax questions
You don't give enough information. Settlement for injury means he was paid compensation for an injury that occurred on the job or that was someone else's fault. I can't tell from your description if he is actually being paid for his physical injury, or if he is being paid for discrimination that was a result of the injury. If he is actually being paid for the injury, that is not taxable, but if he is being paid for discrimination that was a (indirect) result of the injury, that is taxable.
However, there is an important additional element here. Legal fees paid for unlawful discrimination cases are deductible from the settlement payments, even though other legal fees are no longer deductible. You need to use the Desktop version of Turbotax installed on your own Mac or PC, instead of the online version, then follow these instructions.
Also, you must pro-rate your deduction. That means that (for example) if 40% of the settlement is taxable wages and 60% is a non-taxable payment for injury, then you can deduct 40% of your legal fees.