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Level 1
posted Apr 13, 2023 4:35:39 PM

I received a settlement payment from an asbestos/mesothelioma compensation/trust fund on behalf of my father. Is this taxable income?

The firm that handled the payments stated that there are no 1099's or anything from the IRS. I am just wanting to make sure.

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2 Replies
Expert Alumni
Apr 13, 2023 4:44:43 PM

No, this is not taxable income.  The IRS says that settlements based on physical injury are not includible in income.

Level 1
Apr 13, 2023 4:47:36 PM

Thank you very much for your help! I appreciate it very, very much!