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New Member
posted Oct 29, 2019 11:48:01 PM

Can I claim payments resulting from lawsuit?

I made a settlement in a lawsuit this year regarding a personal residence I sold 7 years ago. Can I claim the settlement and/or the legal fees involved?

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New Member
Oct 29, 2019 11:48:02 PM

Since any deductions resulting from lawsuits are directly related to income earned or job action, or some limited child support options, there does not appear to be any deduction for legal costs resulting from a personal residence.  There would not be any capital gains reported or income derived from a personal residence that a deduction could be applied against.

1 Replies
New Member
Oct 29, 2019 11:48:02 PM

Since any deductions resulting from lawsuits are directly related to income earned or job action, or some limited child support options, there does not appear to be any deduction for legal costs resulting from a personal residence.  There would not be any capital gains reported or income derived from a personal residence that a deduction could be applied against.