Lump sum cancer payment

Teresa9801 · ‎November 5, 2023

I received a lump sum cancer payout from Cigna this year will I have to pay taxes on that? It was not through an employer

NCperson · ‎November 5, 2023

@Teresa9801 Maybe . Cigna states it may be taxable if the payment exceeds the cost of the medical expenses.

Look at the Cigna website and the footnote: (it this why you are getting a lump sum payment? did you buy this policy?)

2 Benefits received in excess of medical expenses may be considered taxable income. Consult your tax advisor.

Bsch4477 · ‎November 5, 2023

If the premiums were paid with after tax dollars you would owe no tax.

NCperson · ‎November 5, 2023

@Teresa9801 Maybe . Cigna states it may be taxable if the payment exceeds the cost of the medical expenses.

Look at the Cigna website and the footnote: (it this why you are getting a lump sum payment? did you buy this policy?)

2 Benefits received in excess of medical expenses may be considered taxable income. Consult your tax advisor.

Do you have an Intuit account?