Tax Help


Tax Help

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afromanGT
afromanGT
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WaMackie wrote:
So the Legal fees associated with that aren’t deductable? Even though a Lawyer was engaged to mediate in a Work Dispute?

Not as far as I know, because it's not essential to the income it's not a tax deduction. But then when I was suing for unfair dismissal the Union paid for the lawyer.
WaMackie
WaMackie
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So the Legal fees associated with that aren’t deductable? Even though a Lawyer was engaged to mediate in a Work Dispute?
afromanGT
afromanGT
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No, all severance and settlements are taxed. And they're taxed quite highly - it's around 25-30% from memory.
WaMackie
WaMackie
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An employee has a dispute with his boss, his boss gives him a hard time. The employee engages a private law firm to assist in the negotiation process to smooth things over with the boss. The Union is useless in this matter, hence the employee hired a Lawyer.

Later, the employee finds another job, and gets the private lawyer to negotiate a termination payment/settlement with the current employer the same one where the boss was giving the employee a hard time.

Are both, or one of the above situations Tax Deductable? If so, under what Reference is it claimable?

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