I am a construction contractor. Last year we had to pay back money received on a previous job because of losing in civil court. Where do we add that loss in turbo tax?

[IreneS]

You can include that loss under Rebates/refunds paid.  To do this, please follow these steps:

1. On the screen, Here's your [XX] info, click the Add income for this work box.
2. On the screen, Let's enter any additional income for your [XX] work, mark the radio button next to Rebates/refunds paid
3. Enter the amount of the award on the next screen.

The legal fees can be entered under Less common expenses.

1. Click the Add expenses for this work box.
2. Under Less common expenses, mark the radio button next to Legal and professional fees.  Click Continue at the bottom of the screen.
3. Enter the fees on the next screen.