Are personal injury settlements taxable? Find out how the IRS treats your injury compensation in this comprehensive guide.

All income is taxable unless a law specifically says it isn’t. Here are some basic rules you should know to help you file an accurate tax return: Taxable income. Taxable income includes money ...

Life insurance death benefits are typically not taxed unless your total estate is very large. However, you usually need to pay taxes if you sell your policy in a settlement.

Allocate damages to reduce taxes: During settlement negotiations, you can negotiate to allocate a larger portion of the settlement to non-taxable award categories.

What’s Taxable Income and What Isn’t – the Least You Need to Know for Last Minute Filers Here are the basic rules you need to know to keep more money in your own pocket.

Entrepreneurs who receive a wrongful death lawsuit settlement that is solely compensatory are not required to report this income on either their personal or business tax returns.

You don’t need to be a CPA to keep these earnings tax-free. Here’s a handy-dandy review of all the non-taxable incomes for which you might be eligible in 2025.

If a debt settlement company gets some of my balance forgiven, do I have to pay taxes on it? Yes, any forgiven debt above $600 is considered taxable income and needs to be reported to the IRS.

Answer: Christopher - It depends on what the settlement respresents. The following is general guidelines from IRS Publication 525, Taxable and Nontaxable Income.

The IRS taxes many legal settlements, and how the settlement agreement is worded matters. Get tax advice before you sign when you have bargaining power with the defendant. The IRS says wording in ...