Self employed

It's not clear why there was a settlement. However legal settlements are reported as you indicated and legal fees are not deductible under current tax law.

• IRS Tax Implications of Settlements

Other Miscellaneous Income:

1. Sign into your TurboTax Online account
2. Go to Tax Home (left panel)  Wages and Income  section
3. Scroll to  Less Common Income > Select  Miscellaneous Income, 1099-A, 1099-C
4. Select Other reportable Income > Enter a description (----) and the amount