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Learning, Sharing, and Teaching => Taxes => Topic started by: amino_acids2003 on September 11, 2018, 04:16:44 PM

Title: BP Fair Fund Settlement
Post by: amino_acids2003 on September 11, 2018, 04:16:44 PM

Few days ago, i received a small amount of money from BP Fair Fund Settlement.  http://bpfairfund.com My question is that do I have pay tax on it?

Title: Re: BP Fair Fund Settlement
Post by: BTDretire on September 11, 2018, 08:09:13 PM

  I don't know, was it for lost wages, then yes, and you also owe FICA on it.
Was it a payment for agreeing not to sue them?  Yes, but, no, for the FICA tax.
At least that's how my accountant handled it, although I had to point
out to him this check was for agreeing I wouldn't sue them, so I didn't think
I owed FICA tax on it.

Title: Re: BP Fair Fund Settlement
Post by: amino_acids2003 on September 12, 2018, 05:10:47 PM

Is for the stock compensation lost because BP violated federal securities laws when it made material misrepresentations and omitted material information during the oil spill in the gulf.

Title: Re: BP Fair Fund Settlement
Post by: MetalCap on September 13, 2018, 07:33:31 AM

I received it as well.  I researched it when I first received the notice and I don't believe we do. Mine is so small, I'm not worried either way.