We just won a lemon law case for our car. We won $83,000, but only walked away with $60,600 and had to return the vehicle. We are trying to figure out if any of that is going to be taxed?
Here is the breakdown: Taking into consideration your total sales price, mileage offset, Mfg Rebate, and incidental damages your actual damages are $27,000.
Accordingly, there are $56,000 in additional damages here ($83,000 - $27,000). As explained, the additional damages have a 40% contingency fee per your retainer agreement. $56,000 x .4 = $22,400.
Therefore you will receive $27,000 + $33,600 ($56,000 - $22,400) = $60,600.
Lawyers will receive $22,400.00 + a motion for our attorney’s fees, costs and expenses.
Thank you!
