I just received a settlement. The attorney got one third of it and the hospital got one third and I got one third. What taxes do I have to pay?
You need to look carefully at the Complaint and the Judgment to determine if the settlement, or if all or part or none of it, qualifies as non-taxable income income due to physical personal injury. Another related issue is whether the attorney fees paid may be deductible. Under the new tax law, they may not be deductible in 2018. You should discuss this with your attorney, or consult with a tax attorney.
This information is provided for educational purposes only, and is not to be relied upon as legal advice. You should consult with an attorney with full disclosure of all facts and opportunity to consider all or alternative options.
Our Rating is calculated using information the lawyer has included on their profile in addition to the information we collect from state bar associations and other organizations that license legal professionals. Attorneys who claim their profiles and provide Avvo with more information tend to have a higher rating than those who do not.What determines Avvo Rating?Experience & background
Years licensed, work experience, educationLegal community recognition
Peer endorsements, associations, awardsLegal thought leadership
Publications, speaking engagementsDiscipline