I received temporary disability payments for about 2 years under Workers Compensation Insurance for California. I then received a final one lump payment of 24,000 as a settlement.
Workers' Compensation Lawyer
Your only real tax concern is allegations of 132a Discrimination within your claim, because back/future non-TTD wages are involved. If 132a Discrimination was not alleged/settled/dismissed, the rest is tax-free.
We offer general concepts, but you should give ALL your facts to a licensed Attorney in your state before you RELY upon any legal advice.