Does money from work injury need to be reported?

If you mean you received worker compensation that is not taxable and is not entered on a tax return.  Or do you mean something else that they gave you a tax document for?

It depends.  How your disability income is taxed depends on your situation. 

• Department of Veterans Affairs (VA) disability benefits aren't taxable and don't need to be reported on your return, unless it is on a 1099-R
• Social Security Disability Benefits (SSDI) aren't taxable unless you have substantial additional income.
• Workers' comp isn't taxable. 
• Car insurance disability benefits for no-fault accidents aren't taxable.
• Disability income paid by an insurance company may or may not be taxable:
  • If the premiums were paid by your employer and weren't included in your taxable income, the disability is taxable.
  • If you paid the premiums out of your own pocket or with payroll deductions that came out of your after-tax income, the disability isn't taxable.
  • If you and your employer jointly paid the premiums, only the disability amount covered by your employer's payments are taxable.