Legal Compass

Ask the experts: Compensation payouts and financial planning

Compensation payouts for personal injury are generally one-off payments made for long term injuries and losses. With often large sums of money being involved, it’s important that recipients seek reputable financial advice.

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What happens if I lose a No Win No Fee case?

In most personal injury cases, if your case is not successful (is withdrawn or investigation of a potential claim is stopped), there should be no costs for you to pay under a No Win No Fee agreement.

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Do I have to pay tax on compensation for personal injury?

In Victoria, you are generally not required to pay tax from lump sum compensation you receive from a personal injury claim. However, compensation payouts can still have important tax implications which you should be aware of.

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