i won a settlement-do i owe for taxes?

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i won a settlement-do i owe for taxes?

2007-04-07 08:04:50 · 3 answers · asked by bill- 1 in Business & Finance ➔ Taxes ➔ United States

3 answers

Hello, bill! Per IRS Publication 525, settlement income is taxable or non-taxable depending on what it replaces. Lost wages/back pay, copyright infringement, and punitive damages are all examples of taxable settlements, while settlements related to physical illness or injuries (including medical malpractice) are non-taxable.

The below IRS link has more info.

2007-04-07 09:09:45 · answer #1 · answered by Anonymous · 2⤊ 0⤋

It depends on what the settlement is for. Could you provide more information?

2007-04-07 15:13:34 · answer #2 · answered by Amy F 3 · 2⤊ 0⤋

2007-04-07 15:08:46 · answer #3 · answered by george 2 6 · 0⤊ 2⤋