In most cases, you will not have to pay taxes on the main portion of lawsuit settlements. The idea is that it would be too confusing if the monetary number to be awarded would end up being less...
For the most part, no. It would be too much to factor into the total equation. In other words, making sure the settlement covered the full amount of the injuries-medical, etc-after taxes were taken...
If by "payroll lawsuit" you mean a lawsuit for back pay that you were entitled to but did not get, then yes you do have to pay taxes on it. This is because that money is a replacement for the income...
This depends on what the settlement consist of. Any part of the settlement that is reimbursement for medical expenses or pain and suffering is not taxable. If part of the settlement consists of...
The amount one pays as income tax depends on their TAXABLE income. It is a percentage of that income. The exact percentage used depends on the level of that income.
Most but not all settlements are...