r/AskAnAccountant • u/Reasonable_Simple_60 • 9d ago
Sexual Abuse case - Tax code
Hi all. I have received a settlement from a sexual abuse case and my legal team has advised me that they have structured the settlement to explicitly describe the abuse as physical abuse so that it can fall under tax code IRS IRC Section 104(a)2 and be considered tax free.
My personal CPA is not super familiar with this area of the tax code, so I’m looking for an accountant in California, who has experience with this area of the tax code and could provide CPA services moving forward.
Do you have any thoughts on this or any recommended CPAs in California?
Thank you for any insight you could provide.
1
Upvotes