Tuesday, December 14, 2010

Is the health insurance paid to lay off employee taxable?

If a company paid it's terminated employee a 6 month health insurance coverage, does this health insurance insurance payment taxable?
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If your former employer is paying your health insurance premium it is not taxable income to you. If the insurance is COBRA coverage, it will not be taxable to you even if your employer gives you the premium and you pay the insurance.
Source

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