Hello - This year I reached a settlement with Prudential over my long-term disability policy. That is, they bought me out of the policy after a favorable court ruling. My attorneys, who took my case on contingency, were paid 1/3 of the settlement.
Well I just got a nasty shock from my accountant. The new tax law - taking effect this year - eliminates the tax deduction for attorney's fees. That is, I have to pay taxes on the entire settlement, even the 1/3 that never touched my bank account...
New US tax law - attorney's fees no longer deductible
Well I just got a nasty shock from my accountant. The new tax law - taking effect this year - eliminates the tax deduction for attorney's fees. That is, I have to pay taxes on the entire settlement, even the 1/3 that never touched my bank account...
New US tax law - attorney's fees no longer deductible
