The general rule is all items received constitute “gross income” and are taxed. However, IRC §104(a)(2) provides an important exception to this rule. Section 104(a)(2) provides […]
It is difficult to assign a probability for a possible malpractice suit. However, the courts do hold attorneys liable for malpractice for failing to render competent […]
It is not just plaintiffs that should consider the tax consequences of an award or settlement. Defendants should, as well. Payments made by a defendant may […]
Yes. The tax considerations in litigation differ depending on whether you are a plaintiff or a defendant. Effective tax planning for litigation is best performed at […]
The taxing authorities and the courts will look to the following factors, among others, in determining the tax consequence of litigation:(1) the total amount sought; (2) […]
There are certain basics principles for determining the tax effect of a judgment or settlement, including the following. 1. Settlements treated the same as judgments. In […]
