answersLogoWhite

0

Typically, the recipient of a claim payment is not required to report it as income. If the company is paying you for damages or injuries most likely it is not taxable. If you are collecting payment from a company for work done then it is income and the company should provide the relevant tax forms at the end of the year.

1) My arm is broken in an accident and the responsible person's insurance pays me $500 <---- not income

2) I lone my extra car to my mother because of an accident and charge 10.00 per day that the insurance reimburses (Mom's or the responsible person's) <------ income (10-99 tax form expected)

User Avatar

Wiki User

13y ago

Still curious? Ask our experts.

Chat with our AI personalities

JordanJordan
Looking for a career mentor? I've seen my fair share of shake-ups.
Chat with Jordan
ViviVivi
Your ride-or-die bestie who's seen you through every high and low.
Chat with Vivi
JudyJudy
Simplicity is my specialty.
Chat with Judy

Add your answer:

Earn +20 pts
Q: Do you have to pay taxes on an insurance claim?
Write your answer...
Submit
Still have questions?
magnify glass
imp