If you were injured in a car accident and able to walk away with a settlement, you may be wondering whether or not the IRS will require you to pay taxes on it. While these rules vary from state-to-state, car accident victims in Michigan generally don’t have to because of the No Fault law.
Established in the 1970’s, Michigan’s no-fault insurance system is mandatory for every car owner. If you have a car accident, no-fault insurance pays for your medical expenses, wage loss benefits, replacement services, and the damage you do to other people’s property—no matter who’s fault. Thanks to this law, car accident victims typically do not have to pay taxes on benefits they receive.
State laws vary widely when it comes to car accident settlements and claims. For this reason, you need to contact our Detroit car accident attorneys immediately. We can provide top-notch legal counsel and work tirelessly to obtain maximum compensation on your behalf.
Call (248) 793-2010 or contact us today to speak to a lawyer.
We have been helping accident injury victims in Michigan win the maximum settlement for their injuries for 25+ years.
Take a look at what some of our previous clients have to say about the high caliber of the services we provide.
If you have been wrongly injured, we would be happy to review the specific details of your case to determine how we can help.