TurboTax FAQ
TurboTax FAQ
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Do I need to report workers' compensation?

You must include workers' compensation (L & I, Labor & Industries, state industrial) as income up to any amount you deducted for medical expenses related to that claim.

If you did not deduct medical expenses related to the claim, do not include the workers comp for the occupational sickness or injury in your income.

Wages or retirement plan benefits you receive are taxable.