Legal Question in Workers Comp in Maine

If I receive a settlement for my worker's compensation injury, do I have to pay state or federal income taxes on the money?


Asked on 3/08/10, 9:38 am

1 Answer from Attorneys

David Marchese Drummond & Drummond, LLP

Thank you for your inquiry. Typically, workers compensation pays an amount based upon an average of 80% of after tax earnings. Consequently, taxes are not usually charged against money received. However, I always tell clients that they should get an opinion from a tax expert, such as their accountant, before taking any action. I am not a tax expert. Good luck to you.

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Answered on 3/15/10, 10:58 am


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