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kejawe
New Member

I have a 1099 misc for a lawsuit settlement. the settlement is for personal injury and is not taxable. how do I report this on my taxes? s

I know the money is not taxable per the settlement contract but they issued a 1099-misc and it says that it goes to the IRS so I would need to account for it somewhere.
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Patrice
New Member

I have a 1099 misc for a lawsuit settlement. the settlement is for personal injury and is not taxable. how do I report this on my taxes? s

Physical injury or sickness settlements are non-taxable and don't need to be reported unless you deducted medical expenses related to the injury on a previous tax return and you received a tax benefit from the deduction. In that case, you'd report the medical expenses related to the incident as miscellaneous (other) income.


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