Gerstenbluth v. Credit Suisse, et al.

Plaintiff filed suit to recover withheld Federal Insurance Contributions Act (FICA), 26 U.S.C. 3101, taxes from Credit Suisse and the IRS, to which Credit Suisse had forwarded the withheld taxes. Plaintiff had filed a complaint under the Age Discrimination in Employment Act (ADEA), 29 U.S.C. 621 et seq., against Credit Suisse and the parties subsequently settled on a lump sum payment of $250,000. At issue was whether, under FICA, these settlement proceeds were fairly characterized as "wages" received by plaintiff "with respect to employment," and were thus subject to FICA taxes. The court concluded that plaintiff had not offered sufficient evidence to suggest that the settlement payment was anything else but the "[w]ages, tips, other comp[ensation]" that Credit Suisse had classified the settlement payment as. Accordingly, the court affirmed the judgment of the district court granting the IRS summary judgment and dismissing the complaint against Credit Suisse. View "Gerstenbluth v. Credit Suisse, et al." on Justia Law