Legal Question in Tax Law in California

Disability insurance income
If a company , that you own , with a partner, paid the insurance premiums on your disability policy, is that money taxed or tax free when you become disabled? The company was incorportated and had its own tax ID. The premium payments were paid out of company funds and not deducted from any employees paycheck. If you have been recieving this money tax free and the money should be taxed what are the consequences for not paying the tax on this money?
If your spouse was not a part of the corporation , and did not know about this until after a divorce , is that spouse liable for paying the back taxes ?

Asked on 7/26/07, 7:03 am

Donald Field Donald L. Field, Jr., Attorney at Law

0 users found helpful

0 attorneys agreed

Re: Disability insurance income

see:

http://www.irs.gov/faqs/faq-kw43.html

see:

http://www.irs.gov/individuals/article/0,,id=129862,00.html

Answered on 7/30/07, 12:48 pm

Keywords

Match Any Match All

Country

State

Area of Law