Are the Benefits From Workers’ Compensation Taxable In Texas?

The benefits from workers’ compensation are typically not taxable in Texas. You do not need to claim the income benefits from workers’ compensation you receive on your taxes. We encourage you to speak with a financial professional to make sure that you follow all state and local tax guidelines.

Texas Employers Are Not Required to Carry Workers’ Compensation

Most states require employers to carry state-regulated workers’ compensation insurance. Texas does not have this requirement. However, many private employers in the state provide this coverage for work-related injuries and illnesses. Companies who hire government contractors are often required to offer workers’ compensation.

If you received benefits from workers’ compensation and want to know if any portion of your benefits from workers’ compensation is taxable in Texas, or if you received tax paperwork for workers’ compensation benefits, please see a professional.

Understanding Workers’ Compensation

If you received benefits from workers’ compensation, you know that it is designed to compensate you for expenses from work-related injuries or illnesses. Here are some general facts about workers’ compensation that you may not know:

  • You must notify your employer about an injury or illness before they can file a workers’ compensation claim.
  • You may be asked to see a physician or specialist chosen by your employer before you can receive workers’ compensation benefits.
  • You have a short time to file a claim.

Other Compensation Options for a Work-Related Accident or Injury

If you are injured on the job in Texas and your employer does not have workers’ compensation insurance, you might be financially responsible for medical bills, therapy, and lost work days. This is usually not practical for most people.

Another option is filing a personal injury lawsuit. Under Texas statutes, you have two years from the date of the accident to file a lawsuit.

Our team will help you explore your options for recovering compensation.

A Lawyer Will Protect Your Rights as an Injured Worker

Workplace injury law and workers’ compensation can be confusing. That is why you should contact a workplace injury lawyer if you were injured on the job. Our firm offers free case evaluations and works on a contingency fee basis only. This means that you do not pay attorney fees unless we are successful in recovering compensation for your accident-related damages. These expenses might include:

  • Medical bills
  • Ongoing treatment or therapy
  • Lost pay
  • Reduced earning ability because of the accident

For a free case evaluation with a member of the D. Miller & Associates, PLLC team, please call 713-850-8600. We will determine the best option for you and go after the compensation you deserve, whether that is through workers’ compensation or an injury lawsuit.