..is the money from the government taxable?..or is it all clear money? ..will getting it effect my pension incom?
2007-08-11 03:19:28 · 3 answers · asked by olddogwatchin 5 in Society & Culture ➔ Cultures & Groups ➔ Senior Citizens
Go to the link below and see if you can find your answer on their site. If you have looked there, call the contact number they have listed. This is too important for you to rely on advice from your friends here on Yahoo!Answers.
2007-08-13 08:46:24 · answer #1 · answered by Yarnlady_needsyarn 7 · 1⤊ 0⤋
I spent 7 years doing income taxes--you don't give enough info to come up with a concrete answer. If it is a class act settlement then yes, taxes will apply, if it is straight gov't then there could be a bit of state tax, depending on what state. Your best bet is to call your social security office and with papers in hand tell them what is happening and ask them for help--they are helpful---more so than the IRS. Wish you well.
2007-08-11 06:30:45 · answer #2 · answered by lilabner 6 · 1⤊ 0⤋
I have no answers for you, but if it runs true to form, the payment will be taxable. As for impact on SS payments, if you are of full retirement age, and living in the US, you can make as much money as you want without penalty...for me, that age was 65 + 7 months.
I have no idea how much you recieved, but if running true to form, it wasn't enough to weigh heavily on your taxes...only you and a tax accountant can tell you this. Good luck
2007-08-11 06:04:31 · answer #3 · answered by Anonymous · 1⤊ 0⤋