Sorry not an expert but I read that it depends on what type of judgement you receive. If it's wages owed, as a sibling comment said, you have to pay taxes. Medi

Sorry not an expert but I read that it depends on what type of judgement you receive. If it's wages owed, as a sibling comment said, you have to pay taxes. Medical judgement - no. Punitive damages - yes. I found this article as well which explains more in depth https://www.picnictax.com/are-legal-settlements-taxable-tax-implications-of-settlements-and-judgments/ https://www.picnictax.com/are-legal-settlements-taxable-tax-...