by Structured Settlement Watchdog®
Do I have to pay taxes when I sell my (structured settlement) payment (rights)?
CBC Settlement Funding shill StructuredSettlements(dot)com’s structured settlement social media road kill of the day is the following
“Again, the short answer is typically no.
The long answer is rooted in the Tax Relief Act of 2001. The legislation signed into law in 2002 protects those who sell their structured settlement payments due to financial hardship from paying taxes on that amount. The same law made it mandatory for a person seeking to sell payments to appear before a judge to protect the person from predatory deals that may make the seller’s hardship worse”.
There is no such act as the “Tax Relief Act of 2001”
There were two acts passed in 2001 that include the words “Tax”, “Relief”, and “Act of 2001”.
- The Economic Growth and Tax Relief Reconciliation Act of 2001 (EGTRRA); and
- The Victims of Terrorism Tax Relief Act of 2001 (VTTRA). It was the VTTRA that ahs relevancet to the sale or transfer of structured settlement payments.
- VTTRA was passed at year end 2001 and signed into law on January 23, 2002 as Public Law 107-134 by President George W. Bush. Here is a link to the technical explanation to the VTTRA of 2001 . The structured settlement relevant explanation begins on page 23.
Is CBC Settlement Funding Even Reviewing the Content?
You would think that knowing the fundamental history of your profession would be important.
Consumers deserve the clearest path to accurate structured settlement information
There is no excuse for the ignorance on display at structuredsettlement(dot)com and its writers and the support of the NASP member company that sponsors ignorance by profiting from the leads the misleading website generates. As long as structuredsettlements(dot)com continues to employ a “toss a bag of sh*t against the wall and see what sticks” writing strategy, you rely on their information at your own peril.
Related Reading
Publication 3920 (09/2014), Tax Relief for Victims of Terrorist Attacks | Internal Revenue Service