My client received income replacement for almost 2 years from the insurance company without T4A before it stops.
Not sure if this is to show anywhere? as my understanding is that it is exempt income
@abdussammad
Depends what the payments are for - that is, the reason for “income replacement”. If the recipient was in a car accident, then it’s probably NOT taxable:
If it is from Veterans Affairs, because the recipient is having trouble finding work, then it IS taxable:
If it is periodic payments from a “wage loss replacement plan”, then it PROBABLY IS taxable: