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New Member
posted Apr 25, 2020 5:03:20 PM

I received a Settlement payment as a Judgement Class Member in a class action lawsuit Rodman v. Safeway, Inc. for $804. Do I need to report it as income on my tax return?

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2 Replies
Level 15
Apr 25, 2020 5:15:03 PM

It depends.  Generally not taxable unless you previously deducted the loss.

 

If it is a reimbursement then you already paid tax on the money and you are just getting some of it back.   Punitive damages that are in excess of any loss are taxable income.

 

 

New Member
Apr 28, 2020 9:48:54 AM

Accepted the Solution.  Thank you.