2018 ABA Section of Taxation May Meeting

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Partner Elizabeth Erickson was a panelist for the discussion on „Section 162(q): Deductions For Sexual Harassment Settlements and Related Attorney’s Fees After the 2017 Tax Act.“

The 2017 Tax Act added section 162(q) to the Code. This new provision denies deductions for any settlement or payment related to sexual harassment or sexual abuse if that settlement or payment is subject to a nondisclosure agreement and for any related attorney’s fees. The panel provided an overview of the new provision, discussed some of the challenges in its implementation, and explored its impact on current employer practices.

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