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Do I owe taxes on my Workers’ Compensation (WC) or Personal Injury (PI) Settlement?

It’s almost tax time! Have you received a Workers’ Compensation settlement or a Personal Injury settlement and wondering if these settlements are taxable income? Some of the answers are straightforward while others are not. Keep in mind, we are not tax lawyers or certified public accountants, so you should always run tax questions by the most qualified individuals, like your accountant.

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Can I be fired because I file a Workers’ Compensation claim or because I hire an attorney for my case?

The short answer is NO, not legally. Your employer cannot legally terminate you because you had a work injury or because you hired an attorney. You are entitled to know your legal rights and to file a legitimate claim for a work injury.

However, do not let the above facts confuse you into thinking that your job is protected because you got hurt at work, because that is not the case.

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What is “Billed vs. Paid” and how does this affect my Personal Injury claim?

Were you in a car wreck or trucking accident and trying to figure out why your medical bills are piling up and not getting paid? After all, you were not at fault in this accident! Personal Injury claims in North Carolina can leave you feeling like you got the short end of the stick at times, and unfortunately, that feeling could extend to the settlement of your claim as well based on some applicable NC laws.