Generally speaking, some but not all of your settlement will likely be taxed. Money you receive to cover your injuries and medical expenses may not be taxed, but money awarded as punitive damages (intended to punish the party at fault) or lost wages may be.
To avoid taxation, settlements must satisfy two requirements: physical injury and wrongful action. Taxes on settlements are complicated and depend on the specific damages involved in the suit.
As a mesothelioma law firm, Sokolove Law can help determine how much of your compensation may be taxed.