Tax Treatment of Settlement

In this case apparently an allocation has been made. It was apparently made by the insurers that would make the payments and not reflected in the settlement agreement. If that allocation is reasonable, I don't see why it wouldn't be respected.

Stu

Reply to
Stuart Bronstein
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Given that one payment, for the injury, was paid by the employer's workman's comp insurance carrier, and the other payment, in settlement of the wrongful termination claim, was paid by the employer, I would think the allocation is obvious.

Seth

Reply to
Seth

How does one make a reasonable allocation? Would it involve more services from a lawyer and thus more fees for them?

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removeps-groups

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