Are your maintenance benefits payable? Do you have to pay taxes on your maintenance payments?

Are your maintenance benefits taxable after a maritime injury? The short answer is no.

Maintenance benefits are generally viewed as a type of worker’s compensation which is not taxable to you. However if your company is also paying you advances or if your company is continuing to pay wages to you even though you’re injured and you’re at home those types of payments may be taxable to you. It’s important that you insist that the company pays you the highest rate of maintenance possible and you want your company to pay you as much money as possible under your maintenance payments since this will not be taxable to you.

Call us if you have any questions about your rights or choices about your maintenance benefits, any type of advances you may be getting or any general questions under maritime law or the Jones Act.