Frequently Asked Questions Regarding Tax Free Benefits

Can Children or even Nephews and Nieces of a Physically Injured Person Receive Annuity Payments Income Tax Free?

Can a structured settlement be tax free to the claimant if the claimant or his/her attorney knows the cost of the structure?

Can the claimant purchase a single premium annuity after the settlement, thereby by-passing the defense?

The claim involved emotional trauma, but no physical injury. Can the settlement be structured tax free?

It appears that unless the trauma has its grounding in a physical injury, the settlement will not be income tax free to the recipient. However, there are solutions to this type of case that can result in a plan of tax favored periodic payments for the claimant as well as a total tax deduction for the defendant.

How are Veteran benefits affected by a structured settlement?

Is it better to name a specific person as the beneficiary of the guaranteed benefits of the annuity or the estate of the annuitant?