Life Insurance
Taxes and Tax Preparation

If you pay for your group life insurance through your employer on a pretax basis and name your husband as beneficiary are the proceeds taxable because you paid for the benefit with pretax dollars?

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Wiki User
2005-10-17 00:07:02

Insurance proceeds are non-taxable funds no matter how the

premiums are paid. In Michigan, insurance proceeds received by a

spouse,and only a spouse, are also excluded from household income

for the Michigan Homestead Property Tax Credit.

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