1099-Misc

Forum|Forum|3 years ago
November 16, 2022
1 reply
3 views

I received 1099 misc from litchen Liss Riordan verses uber

it’s a settlement payment

line 3 shows total settlement amount including attorney fees ( attorney fees which I never received they took it upfront) but included it in my total settlement

line 4 shows federal income taxes

but separately in the breakdown it shows they took the attorney fees

my question is do I need to pay taxes for attorney fees too?
same goes with CA form 582-B

line 1 shows total settlement included attorney fees and

line 3 shows tax withheld

thanks

Paul_W1

Level 5

Hi Pro,

You received 1099-Misc possibly for lost wages. In general, I have not seen 1099-Misc for withholdings to be taken out. As for the CA 582-B, you are not a non resident and possibly were a former CA resident so therefore after this settlement the state of CA is requesting withholdings from the settlement. I have only seen a few instances of such. Perhaps you can provide me context to this post. I reside in CA as a tax expert and am pretty sure you were a resident here at some point.

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Pro 12Author

Level 2

thanks for the response
I am still not sure since you didn’t mention about whether do I need to pay taxes for attorney fees ? Which I never received but included in my 1099 misc thanks