Is unused insurance money from my Rental Property fire( in '06) regarded as taxable income?

Question

We are in the process of fixing the burned house because we were not insured enough to pay off the mortgage and walk away. The fix is slower because we cant afford to hire it all out . Now that we are into a new year, and some of the insurance money remains to fix it , will that be considered taxable income ? What if money is left after it is fixed ? Thanks

Answer 1

No, it's not - because the repairs havent' been completed yet. And I promise, there won't be any money left over, because part of the payment you got is labor cost - and if you aren't paying yourself any labor, then you can keep that money.

Answer 2

Non taxable