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Are receipts from surrendered life insurance policies taxable?

April 26, 2017Federal Finance Life Insurance policies receipts surrendered taxable taxes

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Are receipts from surrendered life insurance policies taxable?

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If the cash out value is higher than the basis, you would owe taxes on the difference. Remember that any income is only taxable once. This means that because the money you paid into the policy was already taxed, it can’t be taxed again.