Q.Do I have to pay taxes on any money I recover from my employer?

A.Yes. If the Labor Commissioner rules in your favor and orders your employer (or former employer) to pay a monetary award, the monetary award will be considered wages which are subject to taxation. However, if you incurred any attorneys fees in your pursuit of that monetary award, you are permitted to deduct the attorneys fees on your tax return.

© Copyright 1999-2024 Melissa C. Marsh. All Rights Reserved. All Information on this website is subject to a Disclaimer and Use Agreement. This information is provided as general information only and should not be construed as legal advice. We advise you to seek the advice of competent legal counsel to address your own specific questions, facts and circumstances.