In 2012, I sold a stock at a significant loss which was reported on my tax return. In 2015 I received a check from a class action lawsuit against the company that issued the stock. I did not receive a 1099 for this. Where do I report this income in TurboTax.
When I go through the steps to input the 1099-INT from my class action settlement, the first prompt is:
Normally a class action suit would be reported on a 1099 MISC form and not a 1099 INT, which is used to report taxable interest paid from a financial institution. if this is reported to you on a 1099 INT, whoever issued this to you reported it on the incorrect form.
Thanks, Irene for your detailed explanation on the tax-ability of a class action lawsuit. It settled my questions just fine! The law firm even sent 1099s for Int and Misc as well as a W-2 for the lost income, so we didn't have the problems that the other responders had.