Wendy was injured at her job and received the following payments. $26,000 disability pay. Wendy had disability insurance provided by her employer as a nontaxable fringe benefit. Her employer paid $2,000 in disability premiums this year on her behalf. $10,000 received for damages for personal physical injury. $100,000 for punitive damages. 

What amount is taxable to Wendy?  

Answer rating: 100% (QA)

In this scenario the taxable amount to Wendy would be t... View the full answer