EEOC settlement payment for both W-2 and 1099 reportable amounts

September 13, 2021


Q.¬†We received a legal agreement for an EEOC settlement. Per the agreement, we the employer are to pay the former employee¬†two amounts. The first amount is a 1099 payment of which a certain amount is designated as reimbursement of attorney's fees. The second amount is W-2 wages, less applicable taxes and withholdings. Questions:- Should the first amount be reported on a 1099-MISC as Other Income?- Do we need to send anything to the attorney showing that this was reported on a 1099?- Best…

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