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https://ttlc.intuit.com/community/taxes/discussion/employment-lawsuit-settlement-question/01/830529
For 2018 only if it is a settlement for illegal discrimination. TurboTax does not support this but it is possible to claim it using the forms mode in the CD/download desktop version.
Per IRS Pub 525
Discrimination suits. You may be able to deduct attorney fees and court costs paid to re-cover a judgment or settlement for a claim of unlawful discrimination under various provisions of federal, state, and local law listed in section 62(e), a claim against the U.S. Government, or a claim under section 1862(b)(3)(A) of the Social Security Act. You can claim this deduction as an adjustment to income on Schedule 1 (Form 1040), line 36. |
Thank you. So, it sounds like It would be in my best interest to have my former employer divide the payments to me and my attorney and send us separate W2's? Send me a W2 for my amount and one to my attorney for his amount (if my attorney agrees to pay his own taxes.)
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