Tax On Johnny Depp Amber Heard Verdict? IRS Wins Big

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Depp is the clear winner, but it was still ugly for both of them, even from a tax viewpoint. In fact, the tax treatment is particularly ugly, since how damages and legal fees are taxed can be surprisingly tricky. The IRS will make out nicely indeed. Here’s why.

The long-awaited verdict is in, with Johnny Depp coming out on top, but neither of them unsullied in the process. The jury found that Heard defamed Depp, and awarded him $10 million in compensatory damages and $5 million in punitive damages. Depp’s $5 million in punitive damages were cut to $350,000 under the Virginia state law cap on punitive damages. But Heard won something too, as the jury also found that Depp defamed Heard with one statement his attorney made.

Fairfax County Circuit Courthouse in Fairfax, Virginia, April 27, 2022. - US actor Johnny Depp sued his ex-wife Amber Heard for libel in Fairfax County Circuit Court after she wrote an op-ed piece in The Washington Post in 2018 referring to herself as a"public figure representing domestic abuse." Those sound like big numbers, but keep in mind that Depp sought $50 million in damages, and Heard sought $100 million.

 

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In such cases there is no way to ensure collection of the damages. I don’t believe that Amber have it will be $10.4M nor jhonnydepp will be appealing to recover that money.

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Jurors Reach Verdict In Johnny Depp-Amber Heard Trial; Depp Will Not Be Present For AnnouncementJurors reached a verdict on Wednesday in Johnny Depp’s $50 million defamation case against ex-wife Amber Heard. The verdict will be announced at noon PT. Judge Penney Azcarate is giving lawye… Nomatter what will happen.. he will always be innocent IStandWithAmberHeard
Source: DEADLINE - 🏆 109. / 63 Read more »