Tax treatment of damages | Practical Law

Tax treatment of damages | Practical Law

The tax implications of a settlement may be a determinative factor when considering whether to accept or make an offer. This note considers when awards of damages will be subject to tax as income or as chargeable gains and the tax treatment of the payment of damages.

Tax treatment of damages

Practical Law UK Practice Note 3-205-5372 (Approx. 26 pages)

Tax treatment of damages

by Oliver Gutman, Partner, Pennington Manches Cooper LLP
MaintainedEngland, Wales
The tax implications of a settlement may be a determinative factor when considering whether to accept or make an offer. This note considers when awards of damages will be subject to tax as income or as chargeable gains and the tax treatment of the payment of damages.