I know Class Action Lawsuit settlements for Data Breaches and overcharging insurance premiums are taxable. I'm disabled and I'm only on Social Security Disability Benefits (SSDI). I don't file State and Federal Taxes because my income is below the taxable $25,000 threshold. If I receive a 1099-Misc form for the settlement amount awarded, how does that affect my SSDI? Is this considered Wages like working at a job? There's no clear-cut answer regarding this on the IRS website.
Thanks,
