- 10 -
element is the intent of the payor. Robinson v. Commissioner,
supra at 127.
As enumerated in the settlement agreement, the Postal
Service agreed to pay petitioner $75,000 to settle petitioner's
claims. In her initial complaint and her amended complaint,
petitioner based her claims on Title VII of the Civil Rights Act
of 1964 (CRA of 1964), Pub. L. 88-352, 78 Stat. 253 (current
version at 42 U.S.C. sec. 2000e (1994)), and on the Age
Discrimination in Employment Act of 1967 (ADEA), Pub. L. 90-202,
81 Stat. 602 (current version at 29 U.S.C. secs. 621-634 (1994)).
The Supreme Court has held that recoveries received for the
settlement of claims based on Title VII of the CRA of 1964 are
not excludable from gross income under section 104(a)(2). United
States v. Burke, supra. The Supreme Court has also held that
recoveries received for claims based on the ADEA are not
excludable from gross income under section 104(a)(2).
Commissioner v. Schleier, supra. In both cases, the Supreme
Court concluded that because the statutes in question did not
create remedies for personal injuries, the causes of action
invoking those statutes were not based upon tort or tort-type
rights. United States v. Burke, supra at 241-242; Commissioner
v. Schleier, 515 U.S. at ___, 115 S. Ct. at 2167. With regard to
both Title VII and the ADEA, the Supreme Court stated:
Like the pre-1991 version of Title VII, the ADEA
provides no compensation "for any of the other
traditional harms associated with personal injury."
Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 Next
Last modified: May 25, 2011