Compensation and insurance payments

A structured settlement you receive as compensation for a personal injury is tax exempt if it meets certain conditions.

When tax applies to a compensation payment from a financial institution or under the CSLR.

A settlement payment you receive from the Services Australia income compliance (Robodebt) class action is not taxable.

Redress scheme payments made as compensation or damages for a wrong, injury or illness are non-assessable income.

Payments of conflicted remuneration you receive may need to be included as income in your tax return.

An income tax treatment may apply to a settlement payment you receive from the Volkswagen, Skoda and Audi class action.

Declare payments from an income protection, sickness or accident insurance policy in your tax return.