- 14 - before the enactment and effective date of the Civil Rights Act of 1991, Pub. L. 102-166, 105 Stat. 1071. As to pre-1991 title VII, the Supreme Court has concluded: we cannot say that a statute such as Title VII, whose sole remedial focus is the award of back wages, redresses a tort-like personal injury within the meaning of � 104(a)(2) and the applicable regulations. Accordingly, we hold that the backpay awards received by respondents in settlement of their Title VII claims are not excludable from gross income as “damages received ... on account of personal injuries” under � 104(a)(2). [United States v. Burke, 504 U.S. 229, 241-242; fn. refs. omitted.] On the basis of United States v. Burke, we hold that none of the settlement proceeds attributable to petitioner’s pre-1991 title VII claim are excludable from income pursuant to section 104(a)(2). We turn next to the portion (if any) of the settlement amount that is attributable to petitioner’s remaining claims under 42 U.S.C. secs. 1981 and 1983 (1986). The Supreme Court in United States v. Burke, supra at 240, noted: “Rev. Stat. � 1977, 42 U.S.C. � 1981, permits victims of race-based employment discrimination to obtain a jury trial at which ‘both equitable and legal relief, including compensatory and, under certain circumstances, punitive damages’ may be awarded.” The court went on to say unlike title VII actions such actions were tortlike.Page: Previous 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 Next
Last modified: May 25, 2011