ANSWERS: 2
  • if this was a civil suit and you recieved payment based on losses, I don't believe you have to report it at all,not 100% sure
  • Line 21, other income not subject to self-employment taxes. IF you had any of the stock left, you could adjust the basis by this settlement. But since you have sold the stock at a loss, this settlement helps to mitigate the loss.

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