Are life settlement receipts taxable?

Answer There is no clear cut answer for this question as the IRS to date has not provided definitve guidance. I also must make a disclaimer that I am not providing tax or legal advice, and it is always be... Read More »

Top Q&A For: Are life settlement receipts taxable

Are receipts from life insurance taxable?

In most instances, the Internal Revenue Service (IRS) does not tax life insurance proceeds received as a lump sum payment following the death of an insured party. However, any interest received as ... Read More »

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 »

Are settlement proceeds taxable?

The IRS states that only settlements due to physical or emotional injury are non taxable, for instance if you received a settlement for mesothelioma.States however may tax settlements as ordinary i... Read More »

Is settlement money taxable?

Settlement money, such as an insurance settlement, is taxable unless it is received for a physical injury or illness resulting from a wrongful act, according to Therefore, a settl... Read More »