Should I report income from a damage award when filing my 2023 tax return, or should I wait until I receive the tax slip?

Forum|Forum|1 year ago
April 13, 2024
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I received a damage award cheque late December 2023. However, I have not yet received any tax slip for the award yet from the employer. Should I report this income when filing my 2023 tax return, or should I wait until I receive the tax slip for this income?

Best answer by TurboTaxSusan

It would depend on what the damage award was for. If it was for personal injury, then the award is not taxable. If the amount is for something like unpaid overtime or a similar compensation issue, then the damage award would be taxed.

If this amount is taxable, then you should have a slip by now. Check your CRA My Account to see if it is there, or contact the employer to ask for the slip.

TurboTaxSusanAnswer

If this amount is taxable, then you should have a slip by now. Check your CRA My Account to see if it is there, or contact the employer to ask for the slip.

yeuchetnewsAuthor

Thanks for the reply! The award is for unpaid overtime and I heard that it is taxable, but I didn't receive a T4 slip from the employer. I checked my CRA account and did not find any slips related to this award, so I'm not quite sure if I should report this income as 'other income' for the 2023 tax return or wait until I receive the T4 slip and include it for the 2024 tax return.