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Old 06-01-2022, 11:07 PM   #455
Locke
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Quote:
Originally Posted by I-Hate-Hulse View Post
Sorry I should clarify this
- typically your settlement is considered employment income for tax purposes
- legal fees spent to collect the settlement are deductible against employment income

This is of course the vanilla straightforward situation - consult some real tax experts as there are some exceptions to this depending on your circumstances.
This is good advice, I've gone through this with numerous clients and....'it depends.'

Nature of allegations, nature and classification of settlement, etc.
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