Paying Taxes on Your Injury Claim
Are you worried about paying taxes on your injury claim results? Check out this video to learn about the laws in NY. Call our office in Manhattan for guidance.
Are personal injury results or winnings taxable in New York?
We often get the question, “Are personal injury awards taxable?” — especially when we are coming close to a resolution and discussing the pluses and minuses of settling or resolving the case. The answer is it’s not taxable. It’s not taxable unless the funds are specifically designated for loss of income. If it’s designated as loss of income, then there could very well be taxable consequences. For the most part, tthese settlements are primarily for pain and suffering. It’s to make you whole, and, because of that, it is not considered to be taxable income. Either way, we always recommend that after a case is resolved and a check is received, that you notify your accountant to let them know that you did resolve a case and received a check.
Have you or a loved one been injured because of someone else and have questions about paying taxes on your injury claim? Contact experienced New York Personal Injury Lawyer at the Law Offices of Brian J. Elbaum today for a legal consultation to learn what your case is worth.
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