Home do you pay tax on lawsuit settlements in canada do you pay tax on lawsuit settlements in canada by Maya Grady Published 3 years ago Updated 2 years ago Notably, any amount of a settlement payment for damages with respect to personal injury or death is exempt from tax. Popular Posts: 1. how much can you get in a worker comp settlement 2. is equifax bearch settlement website real 3. what is mark to market settlement 4. what is the bcbs settlement for 5. how long does tbi settlement take 6. how do i exclude myself from a class action settlement 7. what are settlement negotiations 8. are containers in settlements safe fallout 4 9. how are qualified settlement funds taxed 10. how to avoid paying taxes on a settlement package