Is My Settlement Taxable?
After suffering with a serious condition for a considerable period of time, a person may lose their financial stability fighting the symptoms or due to a lack of viable career options. Civil litigation can help these individuals if their health concerns were caused by another person’s negligence. In the case of Reglan users, the development of tardive dyskinesia and similar disorders has pushed many people to take up legal action. However, taxation on settlements or jury awards can complicate the aims of this process.
For more information regarding your rights and options if you have developed a neuromuscular disorder from Reglan use, contact the Reglan attorneys of Williams Kherkher today by calling 800-761-3187.
Injury Settlements and Taxation
When a person receives compensation from a settlement or court award, the type of claim determines whether the federal tax code will take from that fund or not. In cases when a person takes on a drug manufacturer for a product such as Reglan, the law treats these cases as non-taxable. For several kinds of personal injury claims, the income from a settlement cannot be taxed. These include the following awards and settlements:
- Emotional distress
- Injury compensation
- Medical bills
- Loss of relationships
- Lost wages
The law does not make a distinction between settlements made out of court and awards resulting from a court judgment. Similarly, there is no difference in the tax code between a lump sum payment and structured amounts over a set period of time.
Contact Us
Litigation may help many people who have been made to suffer permanent disability because of Reglan use to regain some financial stability. To discuss the details of your situation with an experienced and compassionate attorney, contact the Reglan lawyers of Williams Kherkher at 800-761-3187 today.
