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Tax Law (Questions About Taxes)/Lawsuit settlement to an estate


My mom passed away in 2009. We have recently received a lawsuit settlement in the name of the estate.  As administrator of the estate, I was sent the award & distributed it to all beneficiaries. We are now aware that the amount must be claimed as part of our income but how do we handle this without individual 1099-misc forms. Do we all include a copy that was sent in the estates name?  Also taxes were taken out, can we each include these taxes paid on our returns?

It is likely that taxes should not have been withheld, no tax is due and the lawyers screwed it up.  And it (settlement) is not taxable to you and beneficiaries.

A. How much?
B. What for?
C. How much fee did lawyers take?

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Tax Law (Questions About Taxes)

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Tax and general business including hospitality related (hotel mgmt degree and experience in industry prior to obtaining ms tax and cpa).


19 years cpa. ms tax. NOTE: My discussions are only a general information and do not constitute tax advise without entering into a specific agreement and executing an engagement letter; This free chat is nothing more than general information and should not be construed as tax advice nor does my response or replies imply an agreement to provide client specific advice or other guidance for purposes of avoiding IRS tax or penalties and should not be relied upon without your own validation and confirmation of the how the discussion may fit your facts... Not having all the facts and/or not having a direct client relationship prevents me from providing the most accurate replies as possible and I highly suggest using a local CPA to provide you with written advice and guidance. Taking matters into your own hands is much akin to trying to land an airplane without a license. It is easy to FLY a plane, but LANDING is when critical experience is key. In short, caveat emptor; do your homework and don't just rely on free chat board advice anywhere, anytime.

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