I was the beneficiary of my wife life insurance & I received a $3260 check.?

Death benefit proceeds from a life insurance policy ARE income-tax free. I'm not sure what type of product (an annuity, perhaps?) you get the distribution from. Feel free to contact me with more details, and I'm sorry for your loss.

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You should call the insurance company to get a better understanding of what the check was for. They don't withhold money on anything taxable unless you ask them to.

And, life insurance isn't taxable. So, it's likely not taxable.

Normally, it's not taxable - especially such a small amount.

You will need to call the insurance company - or your accountant - and find out what's going on.

Interest is taxable, even if it comes from a life insurance company.

Only the actual life insurance benefit itself is not taxable. The interest is taxable.

Are you sure this wasn't a 401 or other retirement plan rather than life insurance???

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