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What Are Some Of The Federal Tax Rules That Make Structured Settlements Beneficial?

April 26, 2017Beneficial federal tax rules settlements structured

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What Are Some Of The Federal Tax Rules That Make Structured Settlements Beneficial?

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Section 104(a)(2) of the Internal Revenue Code states that the full amount of the structured settlement payments is tax-free to the victim. In comparison, once a lump sum reward has been invested, its earnings are usually fully taxable.