Is Compensation Awarded for Cerebral Palsy Taxed?
When a family looks for available options to help them cover the costs of medical care for their child suffering from cerebral palsy, they may want to consider filing a claim against the healthcare professional responsible for their child’s disabilities. If this claim is successful, a family may be able to recover a significant amount of money to cover their medical bills, their out-of-pocket expenses, and even the cost of certain non-medical losses. Additionally, if this compensation is won in a case, it’s provided largely tax-free.
If you’re considering filing for financial compensation through a cerebral palsy lawsuit, we may be able to address any questions or concerns you may have about your claim. To learn more about your full range of legal options if pursuing financial compensation, contact a cerebral palsy lawyer of Driscoll Firm, today by calling (800) 900-7704.
Tax Status for Cerebral Palsy Lawsuit Compensation
For the most part, compensation for cerebral palsy damages is considered tax-free for the receiving claimant. This includes compensation for the following:
- Medical expenses, including travel costs
- Injury compensation
- Emotional damages
While this money will not be taxed, the interest on it will be. Additionally, if a person is awarded punitive damages, this type of compensation will likely be taxed as well.
Financial compensation may be available for your family if your child has developed cerebral palsy due to a doctor or nurse’s mistakes. To discuss the details of your claim with an experienced legal advisor, contact the cerebral palsy attorneys of Driscoll Firm, at (800) 900-7704 today.