Legal Question in Tax Law in Massachusetts

Do i have to pay taxes on this?

do i have to pay taxes on the income i made when i sued my employer for terminating me based on religious discrimination?


Asked on 4/05/07, 6:49 pm

1 Answer from Attorneys

Dmitry Lev The Lev Law Firm

Re: Do i have to pay taxes on this?

That depends on the terms of the settlement. If the payout was in the form of past wages or future wages, then they are taxable. If there is physical injury involved, that amount is not taxable. Emotional distress is taxable at this time, though there is some litigation that may be challenging that.

Read more
Answered on 4/10/07, 12:20 am


Related Questions & Answers

More Tax and Taxation Law questions and answers in Massachusetts