inheritance of remainder of deceased mother's workman's comp fund

[Jodielynn]

My sister and I inherited the remainder of my mother's workman's comp fund after she passed away. I am not sure if we will get a 1099 for that, so that would be my first question. Then, if we do, how would I file that on my 2023 taxes, because I am told that it should not be taxable.

[MelanieC1]

Hi @Jodielynn 

You are correct.  Workers' compensation benefits paid to surviving family members after a worker's death are not considered taxable income.

You likely will not receive any tax forms for the paid amounts. 

Thank you!

Melanie