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Boris the Spider

07/01/17 1:34 AM

#481175 RE: wamutrader #481174

If it can be argued as a settlement then there is zero tax. That would be something you'd need to argue with the IRS about.
Most likely though, your broker or the LT (if checks are issued) will withhold 20% before you even get your hands on it.
If your income is less than $450k then you would be entitled to a refund of 5% on that amount up to 450k.
Also, there is still a 3.8% tax taken for Obamacare too, unless they get it repealed before disbursement. That could be why the hedgies are allowing this to drag on. 3.8% is big money when you are talking billions.
All IMO based on talks with three CPAs about this. Good news is, it is NOT taxed as ordinary income!

W3Research

07/01/17 3:14 AM

#481178 RE: wamutrader #481174

WT, I respectfully question your assertion. Lawsuit Settlements sometimes come as checks and they are not Income and therefore non-taxable.

follow_me

07/01/17 4:50 AM

#481179 RE: wamutrader #481174

I would assume that any gains coming to us escrow holders would be classified as LONG TERM capital gains and not Short Term capital gains. So we should be taxed at a lower rate. Hell, we sure have been waiting for almost a decade. smh