are paid up insurance proceeds paid to the living person insured taxable
Individual disability insurance benefits are not taxable, because the premiums are paid with after-tax money. The employer paid disability insurance policies have taxable benefits due to the fact that premiums are paid by the employer with pre-tax money.
No. Only a 'financial gain' is taxable. Getting money back is a wash, not a gain.
Life insurance proceeds paid to a beneficiary is not taxable. However, if the life insurance beneficiary is a trust or estate, there may be some tax implications.
Life insurance benefits are typically not taxable.
Life insurance death benefits are paid out tax-free as long as your premiums were paid with after-tax money. If you have a cash value life insurance policy and surrender the policy, you may be subject to a taxable gain if the total cash value exceeds the cost basis of the policy.
Generally settlements are not taxable. Some insurance payments are taxable in certain circumstances. Disability payments received on a policy that the premiums were completely paid for by your employer would be taxed as ordinary income.
Determining if the benefits are taxable depend supon whether the premiums were paid before or after taxes. If before taxes, the disability income you receive is taxable. If youpremiums were paid after taxation, the disability income benefits you receive are not taxable.
When paid to a single beneficiary it usually isn't. If it is paid to your estate then it could be.
"Insurance and Taxes. No. All proceeds or withdrawals from any insurance policy are not taxable." This is not true. If you cancel a life insurance policy, the growth on the cash value IS TAXABLE. If you do not surrender your policy, the money is taken as a loan and therefore not taxable, but interest that has to be paid back to the insurance company grows.
Depends. If you paid the premiums with after-tax dollars, then the payouts are tax-free. However, if your employer paid them and did not dedcut them from your pay, then your payouts are taxable. In addtion to that, if you split the cost of the premiums with your employer, and your half was paid with after-tax dollars, than the same percentage your employer paid is the percentage of payout that becomes taxable.
Borrowed money is not taxable.