I am sorry for your loss. It would seem the IRS made a mistake as this shouldn't be taxable.....however, if they (actually the Insurance Co) "withheld" that from payment, likely because of a missing form or such....then it is actually at the IRS in an account...that when reflected on your return...(both the income as exempt and the credit for the payment withheld), should see your money refunded. But contact the IRS - by phone - and get an exact excplanation. Do not accept that it is taxable.
A life insurance payout is not taxed.
The child's income is essentially considered the income of the parent...so it is taxed at their rate, and presumably they have enough income to be taxed.
A deposited check of $25,000 is not automatically taxed by the IRS simply because it is deposited. However, the tax implications depend on the source of the funds. If the check is for income, such as wages or services rendered, it would be subject to income tax. It's important to keep records and report any taxable income appropriately on your tax return.
No, not in the UK, you get taxed when you are 16
all i no is that groceries cant be taxed
A life insurance payout is not taxed.
No, children are not taxed.
no it is not
If you are receiving dividends from a life insurance policy, do you have to pay taxes and what %
not in the state of ga
Only whole life insurance,not term life.
no Generally, insurance payouts are non-taxable. More information is needed to answer specifically.
The child's income is essentially considered the income of the parent...so it is taxed at their rate, and presumably they have enough income to be taxed.
Scott
As far as homeowners, and auto claims payments are concerned no.
No it's not and for that reason it is not taxed either.
That is the beauty of life insurance! With a properly named beneficiary life proceeds are not taxed and they avoid probate.