Facts Taxpayer Jason was diagnosed with fibromyalgia 3 years ago at which time he left his public accounting job due to the affects of stress on his symptoms. After becoming an accountant at a manufacturing job his symptoms subsided, until last year when the firm hired a high-strung and demanding accounts manager whom Jason discovered was double billing customers. The stress created from the situation exacerbated Jason’s fibromyalgia symptoms and his doctor insisted he take a leave of absence, which resulted in him being fired by the new accounts manager. After winning his lawsuit for wrongful discharge, Jason received a settlement for back wages, attorney fees, and $50,000 categorized as nonemployee compensation. Questions Presented Can Jason exclude the $50,000 from his taxable income as a payment for physical pain and suffering? If Jason suffered from depression rather than fibromyalgia, and he experienced insomnia, migraines, nausea, and weight gain after being terminated, can he exclude the $ 50,000 from his taxable income? Short Answer …show more content…
In Domeny v. Commissioner (T.C. Memo 2010-9), the taxpayer suffered from Multiple Sclerosis and the taxpayer’s symptoms “flared up” due to a stressful work environment after she reported a co-worker for embezzlement. When the taxpayer took a leave of absence as insisted by her physician, she was terminated. As a result of a lawsuit, the taxpayer received, among other payments, $16,933 which was listed on a Form 1099-MISC as nonemployee compensation. The court ruled that because the taxpayer’s work environment did cause the increase in her symptoms and that the $16,933 portion of her settlement was intended as compensation of her physical injuries, that amount was excludable from her gross income under
(Ackerman 17)” However, this framework does have its limitations. The legal model does not recognize “the impact of illness upon autonomous behavior, it impair the ability of patients to engage in contractual therapeutic relationships.(Ackerman 17)”
Plaintiff Debra Denise Gregg filed a sexual harassment suit for violations of Title VII, and the District of Columbia Human Rights Act against Hay-Adams Hotel. She sought $1,000,000 in compensatory damages and $1,000,000 for damages resulting from emotional distress and $1,000,000 in punitive damages. Plaintiff Anthony Gregg brought the claim for damages resulting from loss of companionship and consortium in the amount of $1,000,000. The judges dismissed the case on the grounds that the plaintiff’s accounts lacked consortium and that the facts did not support her claims for emotional distress and punitive damage.
Murray reported his employer to the Environmental Protection Agency claiming his employer had been illegally dumping chemicals into a river. Murray’s employer fired him and intentionally attempted to prevent Murray from attaining another job. Murray retaliated by suing his former employer. Murray claimed that his reputation was damaged and he won the lawsuit. Murray received an award for “damages to his personal and professional reputation and for his mental suffering.” Murray makes an argument stating this award is a recovery of his human capital, and a recovery of capital is not income. Will this amount be taxable?
DOI: 08/17/2010. The patient is a 55-year-old female assembly worker who incurred a work-related injury when she fell with her face forward after tripping on a curb.
Mrs. Stadnyk did not report the $49,000 on her tax return. The Internal Revenue Service later found her liable for a tax deficiency since she did not report this income. Section 61(a) states that unless otherwise specifically provided, gross income includes all income from whatever source derived. IRC § 61(a). Section 104(a)(2) states that gross income does not include the amount of any damages received on account of personal physical injuries or physical sickness. IRC § 104(a)(2). The tax court held that since the income is not excluded under section 104(a)(2) Mrs. Stadnyk is liable for the tax deficiency and the accuracy related penalty. Stadnyk v. Commissioner 96 T.C.M. 475, (Dec. 22, 2008). Stadnyk appealed the tax court’s ruling and the 6th Circuit of Appeals Court affirmed. This has case has been cited four times as either favorably or without comment. Since Marlene did not obtain any physical injuries the income from her settlement doesn’t qualify for the section 104(a)(2) exclusion, thus she must report the $100,000 as ordinary income
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Lahman, Larry D. 2005. Bad mule: A primer on the Federal False Claims Act. The Oklahoma
Fibromyalgia (FM) affects approximately 2-6 percent of the population. FM can affect anyone of any age, but it is more common in women over 50 years old. It’s a very complex disease and the cause is unknown. People who suffer from FM report symptoms which include pain, fatigue, and trouble sleeping and morning stiffness. These symptoms can interfere with a person’s daily life and can ultimately lead to physical disability which could possibly result in depression. The management of FM does not cure the disease and some may not be suitable for all patients so many patients decide to self-manage.
Physicians can only give palliative treatment for fibromyalgia. The primary goal of palliative care is to prevent secondary illnesses and alleviate patients’ suffering. What physicians offer are the so-called remedies even if they give prescription drugs. When a doctor prescribe analgesics, it does not mean this can ultimately cure the syndrome rather give temporarily relief to patients.
Fibromyalgia is not a new disease that has just surfaced, it has been around for a long time, it just didn’t have a name and was not recognized for what it truly was. It was...
Hardaway India Ms. Olsen Anatomy and Physiology 20 May 2014 Fibromyalgia Fibromyalgia is a syndrome where a person has long-term, body pain and tenderness in their joints, muscles, tendons, and other soft tissue. This is a disorder that can also cause muscle pain and fatigue. Those with fibromyalgia have "tender points" in the body. Tender points are places on the neck, shoulders, back, hips, arms, and legs. These points will start to hurt when pressure is applied to them.
Fibromyalgia, also known as fibromyalgia syndrome and fibromyositis, is a chronic pain disorder that affects people physically, socially, and mentally. It can affect any area of the body and affects multiple areas. This disorder is most common in women, but it can also affect men and children of all ethnic groups. Most people are diagnosed between the ages of twenty and fifty. People who have Rheumatoid Arthritis, Lupus, or Spinal Arthritis have an increased risk of developing Fibromyalgia. This disorder cannot be transmitted from person to person.
Fibromyalgia is an extremely disabling condition associated with chronic widespread musculoskeletal pain and reduced pain thresholds (Wolfe et al., 2010)(Kelley et al., 2011). Observational studies have shown that over a 12 month period 25% of men and women surveyed over the age of 65 will consult a primary care physician for musculoskeletal pain (Jordan et al., 2010). Overall, between 46% and 80% of people over the age of 65 report experiencing pain on a daily basis and 15% of women and 10% of men over 50 report widespread musculoskeletal pain (Soldato et al., 2007; Thomas et al., 2004). The Centers for Disease Control and Prevention estimated in xxxx that fibromyalgia patients generated $6000 per patient per year in healthcare costs where as another recent study of administrative claims found that fibromyalgia healthcare costs may exceed $18,000 per patient annually (Wolfe et al., 1997). In a population study of ten chronic diseases, fibromyalgia was highest ranked for healthcare not received in the previous year and in long-term disability, pain, and poor self-rated health by survey participants (Kasman and Badley, 2004).
This case was interesting and was chosen for this SOAP note and discussion. Several things were captured in this learning opportunity. First of all, the assessment piece needed to include all of the potential differentials. I discovered myself relying on patterned learning to recall what areas should this focused exam include. Headaches are broad symptoms that can potentially result from many system alterations and can be related to many differentials. Initially, I considered migraine/tension headache history, acute illness (infection/sinusitis), acute injury (trauma or brain bleed), cerebral abnormality (aneurysm/stroke), and secondary causes related to uncontrolled HTN. I then began to narrow the differentials the most likely diagnosis such as tension-type headache based on the details obtained from the history/physical. Next, I began to consider treatment for tension-type headaches. The area of learning in the case was related to the additional treatment with Lyrica for the headaches. I considered the typical interventions such as rest, non-steroidal anti-inflammatory agents, stress reduction, diet, and trigger recognition. I considered the influence of co-morbid condition management, such as HTN, DM, and obesity. I had not considered that the HA potentially be related to her fibromyalgia (FM). According
This is ware it is paramount for management to develop viable means of measurement to monitor and track an employees contributions in efforts recognize if they are eligible to receive part of the group performance-based pay. Notably in the Fit Stop case it states, all members of the organization will be full time staff. This is a challenge in that it is much more difficult to fire or penalize someone who is not performing at par or meeting the expectation outlined by the organization. Full time staff is legally entitled to certain rights and are protected by the labor board. Further the employer must legally prove their efforts to accommodate and aid an employee that may be suffering from any form of addiction or illness that may be impeding their ability to perform at work, prior to letting them go. Only at this time, if the organization can prove beyond reasonable doubt that the employee’s lack of effort is not related to any form of mental or physical illness, should they be removed from or not included in the group-based performance pay. In order to protect the employer, the following standards of what is considered