Oil spill settlement recipients receive tax notice on payments before receiving money

Oil spill settlement recipients receive tax notice on payments before receiving money

BILOXI, MS (WLOX) - At Reeves and Mestayer law office in Biloxi sits a stack of hundreds of oil spill settlement checks that haven’t found their way to recipients.

According to Attorney Matthew Mestayer the last payments of BP's portion of the Halliburton settlement were distributed in December.

But before many of the settlement recipients have gotten their money, they received 1099 Forms saying they owed taxes on the funds.

“A lot of people are getting these in the mail and wondering where’s the money,” Mestayer said. “It was sent to whoever handled your BP claim whether it be a lawyer or accountant’s office. They should have your money, and hopefully, they’ve been trying to get it to you,” he explained.

Mestayer said this latest payments related to the oil spill was about two percent of each total settlement.

For more information on the 1099 Forms and process to receive the settlement money, visit here.

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