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If my business was sued, can I deduct the amount in any way?

Forum|Forum|7 years ago
June 6, 2019
5 replies
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TurboTax Self Employed Online

Best answer by bwa

Based on the facts in your added situation, those costs would be a deductible business expense. If a sole proprietorship, it would be a schedule C deduction under an appropriate category.

S

SweetieJean

Employee

What amount? Lawyer feess? Settlement?

K

ktowlesjrAuthor

Lawyer fees and the settlement.

B

bwa

Employee

It depends on what the lawsuit was for. Some are deductible and some are not. You need to be more specific?

B

bwaAnswer

Employee

Based on the facts in your added situation, those costs would be a deductible business expense. If a sole proprietorship, it would be a schedule C deduction under an appropriate category.

K

ktowlesjrAuthor

It's an llc, still deductible? Last question, thank you for your assistance.

K

ktowlesjrAuthor

Ok, I have a contacting businesses and I had a job out of town and hired gut in that city. Long story short, they didn't finish and took all the supplies and the home want finished. I was in China on business, so I couldn't get there to do it nor did I know till I returned. He sued me for 12,000 which included material and labor. Hope that's explains it somewhat without going to deep.
Thanks