As we all know, the Internal Revenue Service likes to get its piece of every bit of income you make. The question, is a personal injury settlement taxable, often comes down to whether money or assets you receive is “income.” The IRS defines income as compensation for services, including wages, fees, commissions, and similar items….
If you have been awarded a settlement in a personal injury lawsuit, you may be asking, How are personal injury settlements paid out? Essentially, you have two payment options – a lump sum or payment over time. There are a number of considerations that go into this choice, so it is best to consult with…
When someone is injured in an accident, a personal injury attorney can file a claim for damages on behalf of the victim or the victim’s family. In around 95% of cases, a personal injury lawsuit never goes to court but instead is settled for an agreed-upon amount even before a lawsuit is filed. This is…
How Are Personal Injury Settlements Taxable in PA and NJ? Tax season is here, and you might be wondering, Are personal injury settlements taxable in PA and NJ? The answer is both yes and no. Money that is received in a court settlement is usually considered income and is therefore taxable. However, personal injury settlements…