Settlememt money

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dhirenasha
Posts: 57
Joined: Fri Nov 23, 2007 9:31 am
Location: USA

Settlememt money

Post by dhirenasha »

I got a settlement from a car delaer in 2007 for amount of around $2000 to settle some issues. We signed the release papers and everything.

Do I need to add this money and apay tax on it? If yes,do I pay everything i.e Federal, medicare, state etc or just Federal.
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nelsona
Posts: 18675
Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Post by nelsona »

This is not taxable income in any jurisdiction, unless you worked for that dealer in some capacity.
After 20 years, I am severely cutting back on responses. Do not ask specifically for my help. There are a few others on this board that can answer most questions. All the best
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