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crdodgeman
New Member

I have deductible legal expenses from a work discrimination lawsuit. I know these expenses are deductible, but can someone tell me where to enter them?

 
2 Replies
ThomasM125
Employee Tax Expert

I have deductible legal expenses from a work discrimination lawsuit. I know these expenses are deductible, but can someone tell me where to enter them?

You can enter that as a negative adjustment to income by using the following tabs in the online version of TurboTax:

  1. Federal
  2. Income and expenses
  3. Less common income
  4. Miscellaneous Income, 1099-A, 1099-C
  5. Other reportable income

Enter a description of the adjustment and the amount as a negative number.

 

You can do also enter it as an adjustment to income in the desktop version of TurboTax by accessing the Other Adjustments to Income Smart Worksheet (use letter option H) you can find next to line 22 on Schedule 1, Part II.

 

[Edit 2/1/21 2:32 PM PST]

@crdodgeman

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Opus 17
Level 15

I have deductible legal expenses from a work discrimination lawsuit. I know these expenses are deductible, but can someone tell me where to enter them?

Expenses for unemployment discrimination lawsuits are deducted on schedule 1, not as a negative adjustment to income.  Also, the expenses are only deductible against judgment income. If you did not win your judgment and have no judgment income, the expenses are not deductible.

 

See this answer for how to enter the expenses on schedule 1.

 

https://ttlc.intuit.com/community/taxes/discussion/above-the-line-deductions-for-legal-fees/00/12101...

*Answers are correct to the best of my ability at the time of posting but do not constitute legal or tax advice.*
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