Kirk & Teff, LLP Click here to connect to our office instantly
Hudson Valley and Capital District Workers Compensation Attorneys Attorney Profiles Workers' Compensation Social Security Social Security Contact Us
Click here to read about our dedicated attorneys Click here to read what previous clients have said about us Click here to fill out your free case evaluation Click here for answers to common questions Click here to read more information in our firm's blog

Consult with an Ulster County Workers Compensation Lawyer

Income Tax Law and Workers' Compensation Benefits and Awards

Workers' compensation wage loss replacement benefits are not taxable or reportable under federal or state income tax laws.

Wage continuation by the employer after a work injury, if available, is often taxed as regular income; however, that part of wage continuation that otherwise would be paid as workers' compensation wage loss replacement is not taxable. Most employers offering wage continuation do not separate taxable and non-taxable compensation payments on W-2 forms. In such a scenario, an injured worker must look to Notices of Decision filed by the Workers' Compensation Board, which usually set forth the periods and amounts of employer reimbursement or credit for wage continuation. The amount reimbursed or credited to the employer represents the amount the injured worker is able to deduct from W-2 gross wages to determine income tax for the year involved. It is sometimes necessary to file an amended tax return if the Notice of Decision is not filed by the Board until after an income tax return is filed for the year involved.

The attorneys at Kirk & Teff, LLP, have more than 100 years of combined experience to help you when you're injured on the job. Make sure you have the best available legal representation. We will vigorously protect your rights and your best interests. Do not hesitate to contact our firm today to discuss your case. We offer a free case evaluation to all new potential clients.

This website contains Attorney Advertising.

The information on this website is for general information purposes only. Nothing on this site should be taken as legal advice for any individual case or situation. This information is not intended to create, and receipt or viewing does not constitute, an attorney-client relationship.






© 2012 All Rights Reserved.