Level 11
12-27-2024
02:23 PM
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ok.. paperwork awards two things.
1. w-2 for x amount for lost wages.. so that is clearly taxable and properly withheld
2. lump sum.. labeled for injuries, physical harm, physical damages, pain and sufferiong, punitivive damages
there was no jury so or verdict where the amounts of the lump sum were delineated between physical damages and non-physical damages.. is it up to us (client and me) to allocate the lump sum between taxable and non-taxable?