Information Return Intelligence
Episode 50: What Are Medical Damages?
10:07
A court case earlier this year gave us two 1099 lessons. It wasn't a 1099 case, but we can take these lessons from it:
1. What are medical damages?
2. Whose settlement is it?
In this episode, we discuss how the law says most lawsuit settlements are taxable, and thus reportable on a 1099. One of the exceptions is with medical damages. The best assumption to make is, the settlement is not for…