i have a client who files 1120S and 1040.

Client was made to pay fines , penalties, and restitution to us dept of justice

client received form 1098-f with various boxes filled in including box 3 for restitution

his lawyer is telling him that amount form box 3 is deductible

I have never dealt with this issue and do not know if corporate or personal deduction or which form to use.

1098-f was sent to clients social security number. the amount of restitution paid is in excess of $500,000.

help!!