My husband met with an accident, and he was seriously injured. The other driver was drunk, and it was due to his negligence, the accident occurred and my husband was injured. With the help of a personal injury lawyer, we will be receiving some amount as compensation. My brother told me that this amount of compensation received would be taxable. I did some research on this and found that a personal injury settlement can be taxable, nontaxable, or partially taxable, depending on the circumstances of the case. It is said that the taxable status of a personal injury settlement is often dependent on whether or not there was a "physical injury or physical sickness." I found this information here, http://thelawfirm.com/taxable-income.html
. Now, I want to know about my husband’s case. Will the compensation amount that we receive be taxable? I would like to know more in detail about this. Please advise me.
It looks like you can ask a question via the form on their website so perhaps that would be a good place to start?