Discussion:Personal Injury Attorney receives 1099...
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Revision as of 19:54, 18 February 2009
Discussion Forum Index --> Advanced Tax Questions --> Personal Injury Attorney receives 1099...
Discussion Forum Index --> Tax Questions --> Personal Injury Attorney receives 1099...
| 18 February 2009 | |
| Does anyone have any ideas about this? Box 14 with $62,000 paid to attorney. The attorney then turns around and pays client $48,000 of this. The settlement to client is non-taxable. Do I...
1. Have my client issue 1099 to her client with Box 3 - Other Income and then it is up to her client to submit to IRS why he is not taxed on this money (and then write the amount off on my client's return), or 2. Do not file the 1099 to her client, but report the money she received and that was reported on her 1099 and then attach a disclosure statement with her return stating that the payout was a personal injury settlement paid to her client. Thanks for your comments! | |
