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Le 22 TUUU UUU 11 he can deduct the $8,000 in legal fees? 42. 38. Actress Nola Talent sued her coworker, actor Burt Dirt, for
39. Robert Careless was injured while working on the production line on July 8, 2019. He received the following payments as a


39. Robert Careless was injured while working on the production line on July 8, 2019. He received the following payments as a
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Answer #1

Workmen compensations received as a result of any injury caused at work place is generally not taxable under federal taxes as gross income in the hands of the employee. However Social Security Disability Insurance (SSDI) or Supplemental Security Income (SSI) compensation is taxable. Accordingly, workmen compensation is exempt. Moreover, expense reimbursement is not any income and finally damages for personal injury is also compensation for making damages good.

Thus only $ 16000 wages earned are taxable.

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