I need to find out about wild fire in Oregon

Hi Djburns,

Thanks for you question and sorry to hear about your loss from those fires.

Until you have your paperwork providing more specifics on the terms of the settlement there is no way to know if this income will be considered taxable income. Please review IRS Publication 4345 for more information.

In general, settlements for lost wages for example, are taxable, as are proceeds for emotional distress or anguish that did not result from personal physical injury or physical sickness. Whereas a settlement for loss of property is generally not taxable, unless you receive more from the settlement than your basis in the property. This payment type acts "to make you whole", as if the loss had never taken place.