IRS Clarifies Ambiguity in New Deduction Section Relating to Confidential Settlements in Sexual Harassment Cases
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The IRS has addressed and clarified an ambiguity in a recently-enacted tax law that relates to deductions of attorney fees in sexual harassment cases, where a nondisclosure agreement is in play. Section 162(q) of the Internal Revenue Code provides: (q) Payments related to sexual harassment and sexual abuse No deduction shall be allowed under this…
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