Are life insurance policies taxable?

Answer On One Hand: Insurance Payouts Are Not TaxableIn general, insurance payouts are not taxable income. They are paid for with after-tax dollars and are intended to assist people and families during ti... Read More »

Top Q&A For: Are life insurance policies taxable

Are receipts from surrendered life insurance policies taxable?

If the cash out value is higher than the basis, you would owe taxes on the difference. Remember that any income is only taxable once. This means that because the money you paid into the policy was ... Read More »

Is life insurance taxable?

Benefits received from a life insurance policy may be considered taxable compensation by the Internal Revenue Service (IRS). Policy benefits that can be taxed will depend on the insurance plan and ... Read More »

Are life insurance premiums taxable?

Individually owned life insurance policies are paid for with after-tax dollars, which provides no additional income tax deduction and keeps the policy proceeds income tax-free. Corporate-owned life... Read More »

Is a VA life insurance policy taxable?

According to, the dividends received from Veterans' Administration life insurance programs are not taxable. The IRS also doesn't tax lump-sum death payments received by beneficiaries f... Read More »