W-2 and 1099-misc for lawsuit

[Pro]

Hi 

I received 1099 misc from Lichten attorney verses uber ( misclassification of uber drivers as self contractor) 

they added attorneys fees in my total income, 

can I deduct attorneys fees above the line? 
thanks 

[DaveF1006]

It depends on the type of legal work that was done. Please read this IRS publication for further information.

For instance, according to the IRS, you can deduct:

• Fees that are ordinary and necessary expenses directly related to operating your business (should be entered on Form 1040, Schedule C).
• Fees for resolving tax issues, advice or preparation of tax forms related to your business (should be included on Form 1040, Schedule C).
• Fees for rentals or royalties on properties for which you earn income (should be included on Form 1040, Schedule E)
• Fees related to farm income and expenses (should be included on Form 1040, Schedule F).
• Fees related to whistleblower claims (should be included on Form 1040).
• Fees related to unlawful discrimination claims (should be included on Form 1040).

In your case, you mention you were in a lawsuit involving Misclassification of Uber Drivers as self-contractor. This sounds like a personal legal expense and is not deductible on your tax return.

@Pro  

[Pro]

Thanks for updating 

I meant it was litigation  “Misclassification of uber drivers as an  independent contractors “

I am correcting in case of said self contractor 

Thanks 

[KrisD15]

A bit ironic in your situation, 

If you were still reporting the "Ride-share" income as a Contractor on Schedule C, you MIGHT BE ABLE to report the attorney fees as "resolving tax issues" and therefore as a business expense, but since your situation is reversed, the attorney fees become "Employee or Personal" expenses which are no longer deductible. 

@Pro