I received funds from pg&e after a CA wildfire. Can intuit deal with it?

[lindi428]

Pain and suffering money wildfire

[MonikaK1]

Yes, you can use TurboTax to report the funds you received from PG&E that represented damages for pain and suffering.

Lawsuit damages are normally reported to the recipient on Form 1099-MISC, box 3. In TurboTax Online:

Select Wages & Income, then

Select Other Common Income, then

Select Form 1099-MISC 

There have been efforts in Congress to pass legislation to make the PG&E payments nontaxable. Contact your representative's office for more information.

Click here for information from IRS on California wildfire relief. 

I am sorry for your loss.

[lindi428]

The attorneys are not sending out 1099s will this change the requirements?

[ShirlynW · Accepted solution]

Yes, TurboTax Deluxe and higher can handle your tax situation.

If you didn’t receive a 1099-MISC, follow these steps to report the income:

1. Sign in to TurboTax and open or continue your return
2. Search for lawsuit settlement and select the Jump to link
3. Answer Yes to the question Any Other Taxable Income?
   1. If you've already entered miscellaneous income, select Add Another Miscellaneous Income Item
4. Enter a brief description and the amount you received and select Continue.

[mspiess2]

So what if we received a 1099-MISC

[mspiess2]

As I understand it these payments are not taxable in California.   How do we adjust the CA income?

[JamesG1]

Fire Victims Trust exclusion may be found under Miscellaneous at the screen Here's the income that California handles differently in the California state tax return.

 

@mspiess2 

[mrosamrosa]

Thanks, I had that question also.