Loss wages paid by insurance: Are they taxable are earned income?

by Dave

I was in an accident in 08, i was off work for a month, which i received a check for lost wages.

Do i need to report this as earned income?


Answer:

The insurance company is putting you back in the position you would have been if the accident did not occur.

If they are giving you lost wages back, then it is as if you earned that as income.

This is taxable income.

Good Luck,

http://www.auto-insurance-claim-advice.com