Settlement taxes

[Guest8812]

We settled our suit in the beginning of the year. We put most of the money in an annuity for my son, some of it in a special needs trust, and a small amount was given to me. Does any one know if taxes need to be paid on the amount I received? The money is stated for past and present medical expenses, nothing about income. TIA!

[Ken. Levine]

No, the settlement proceeds paid to you or to your child are not taxable. Under the present IRS code you do not pay taxes on the proceeds of a personal injury settlement. If you want more information, please feel free to contact me directly.

Ken Levine
617-566-2700
Klevine@Klevinelaw.com
http://www.Klevinelaw.com