Are Sexual Abuse Settlements Taxable And When Are You Able To Claim?

Are sexual abuse settlements taxable, and when can I claim compensation? Claimants have asked our panel’s expert solicitors this question, and this guide will provide a comprehensive answer.

After explaining whether tax affects a sexual abuse claim payout, we discuss the eligibility requirements and time limit for making a Criminal Injuries Compensation Authority (CICA) claim via its government-funded scheme. 

As you continue down the guide, you can read useful guidance on what you’ll need to support your claim and how compensation could address different forms of damage.

For detailed advice and information on how a solicitor specialising in sexual abuse claims could support you through a CICA claim under No Win No Fee terms, get in touch today. You can get catered support of an advisor via:

  • Our live chat service, available at the bottom of this page.
  • The ‘contact us’ page on our website.
  • Calling the phone number above.

Browse Our Guide

  1. Are Sexual Abuse Settlements Taxable And When Can You Claim?
  2. How Long Do You Have To Make A Sexual Abuse Claim Through The CICA?
  3. When Can You Claim Sexual Abuse Compensation Through The CICA?
  4. Sexual Abuse Settlement And Compensation Calculator
  5. Claim Compensation With No Win No Fee Solicitors
  6. More Information About How To Claim Compensation For Sexually Abused Victims

Are Sexual Abuse Settlements Taxable And When Can You Claim?

You could be considering seeking compensation for sexual abuse and asking, ‘Are sexual abuse settlements taxable?’

To answer this question, settlements are not taxable, so you do not have to worry about a payout decrease because of tax. 

In other words, there is no special tax treatment for compensation payouts; what you receive is yours to keep. If you have any questions on paying tax, advice can be offered by our advisors and panel solicitors.

Compensation for sexual assault or abuse and in some cases sexual harrassment could be available via the CICA, a government agency that can provide a settlement for people affected by violent crimes who have no other way to claim.

If your situation meets the below eligibility requirements, the CICA could hear your claim and consider compensation:

  • You can show you were injured in a crime of violence.
  • The incident was reported to the police.
  • The crime occurred in England, Wales or Scotland. It could also have occurred in another relevant place, such as a British-controlled or registered ship.
  • You are still within the time limit for starting a claim. We explain the limitations in detail in the next section.

Are Sexual Abuse Settlements Taxable

How Long Do You Have To Make A Sexual Abuse Claim Through The CICA?

There are two time frames to bear in mind: firstly, the length of time it should take you to report the crime to the police. The CICA expects that a crime is reported without undue delay. Secondly, the time limit for starting a criminal injury compensation claim with the CICA is generally two years from the crime being reported.

However, the CICA recognises that a prompt police report is not always possible. For example, victims of historical sexual abuse may only be able to come forward years later. This could also be the case for someone lacking the mental or physical capacity to report the crime when it occurred. Such factors may allow the CICA to consider a claim that did not meet its usual deadline, though they will decide on a case-by-case basis.

If you have not already submitted a police report for sexual abuse, it is best to do so as soon as reasonably possible.

Please let us know if you have any questions about starting a CICA claim for sexual abuse. If you want to learn more about the time limit for beginning a claim, just use any of the contact routes listed above.

When Can You Claim Sexual Abuse Compensation Through The CICA?

Reporting the crime to the police is one of the requirements for starting a CICA claim. As such, you should ask the police for your crime reference number, because the CICA will ask for it.

You are not expected to provide full evidence of the crime and who committed it, but you will need to provide:

  • Proof that you meet the residency requirements for a CICA claim.
  • Test results or other health records showing you suffered injuries that the CICA could compensate you for.
  • Bank statements, payslips or any other documents showing financial loss. We will explain the relevance of this proof later in the guide.

The CICA will liaise with the police to review the facts of the case. They do not need to see that the perpetrator has been convicted before you claim and may compensate you even if there is no criminal conviction.

If you want to know more about preparing for a CICA claim, contact us and speak to one of our dedicated advisors today.

Sexual Abuse Settlement And Compensation Calculator

Many of those asking, ‘Are sexual abuse settlements taxable?’ may also be wondering what a settlement could look like for them.

The CICA has a set of fixed compensation figures for physical and psychological injuries which can be found in the Criminal Injuries Compensation Scheme 2012’s tariff. The figures take into account the short-term and long-term effects of violent crimes such as sexual abuse.

Sexual abuse compensation amounts for injuries will be determined using this tariff and, if required, a formula for compensating for multiple injuries.

The formula means that if you were to claim for three injuries, the maximum number permissible for a claim, you would be awarded:

  • 100% of the tariff figure for the highest-valued injury. This could be for personal physical injuries or psychological ones and emotional distress. 
  • 30% of the tariff amount for the injury valued second-highest. This also applies if the injury is valued the same as the one that receives 100%.
  • 15% of the third highest-valued tariff total, or joint second-highest.

If a claimant lost a foetus, became pregnant or contracted an STI due to the crime, they would receive a payment that falls outside of the multiple injury formula.

CICA Compensation Table

All entries, except the top row, use figures and descriptions from the 2012 Scheme to provide examples of CICA payouts for various injuries. The tariff payout amounts are not subject to change.

DESCRIPTIONSEVERITYTARIFFNOTES
Multiple Injuries and Special ExpensesVery SeriousUp to £500,000Compensation from the CICA covering up to three injuries, plus other payments and special expenses such as replacing damaged aids or a loss of earnings.
Sexual Offence Where Victim is Any AgeNon-Consensual Penile Penetration, Affecting One Or A Combination Of The Mouth, Anus or Vagina£44,000The crime causes serious internal bodily injury and a severe, permanently disabling mental illness.
£22,000The attack brings about serious internal bodily injuries.
Sexual Assault£27,000Resulting in severe and permanently disabling mental illness.
£22,000Leading to permanently disabling mental illness that is moderate.
£22,000Causing serious internal bodily injuries.
Sexual Assault (Victim is a Child)Non-Consensual Penile Penetration, Affecting One Or A Combination Of The Mouth, Anus or Vagina£44,000Severe, permanently disabling mental illness and serious internal bodily injury are results of the crime.
One or Multiple Acts of Non-Penile or Oral Penetration£22,000Cases where the victim suffers serious internal bodily injuries.
Mental InjuryPermanent Mental Injury£27,000Confirmed as seriously disabling by a psychiatrist or clinical psychologist.

Financial Losses When Making A Claim For Sexual Abuse

The CICA could also provide compensation for financial losses if the eligibility criteria are met. You could potentially qualify for payments covering:

  • Lost earnings. This could be possible if you are prevented from working, or at least have a limited ability to work, over a sustained period.
  • Special expenses, or reasonable and necessary costs related to your injuries. For example, you may have required treatment or medicine that you had to pay for, or you could have required domestic support. If the cause of your expenditure was not available for free elsewhere, it could qualify as a special expense.

Please get in touch if you want to discuss claiming compensation for sexual abuse from the CICA further. Our advisors can give more detail about the 2012 Scheme and when you can seek special expense compensation.

Claim Compensation With No Win No Fee Solicitors

Our advisors can answer many questions including, ‘Is a sexual abuse settlement taxable?’ They can also evaluate your potential claim. If you’ve got valid grounds to take a case to the CICA, you don’t have to do it alone, as you could instruct a solicitor from our experienced panel to help you.

Our panel’s sexual abuse claim solicitors help claimants win compensation on No Win No Fee terms and could offer you the same under a Conditional Fee Agreement.

The agreement means the solicitor does not take payment for their work upfront or during the case. In fact, you are not charged at all for the cost of the solicitor’s services if the case fails.

Winning the claim means receiving compensation from the CICA. As well as it not being taxed, other things worth knowing about your settlement are:

  • The solicitor will be entitled to collect their success fee.
  • This takes the form of a percentage of your compensation. The percentage they take will have been agreed with you in advance.
  • It can only be a small percentage because of the legal cap set by The Conditional Fee Agreements Order 2013.

We are here to help sexual abuse survivors claim the compensation they deserve for the effects of violent crime. To learn more about making a claim for sexual assault or abuse and working with a No Win No Fee solicitor, just choose one of these routes:

  • Open the live chat tab below.
  • Contact us through our web form.
  • Call the above phone number.

More Information About How To Claim Compensation For Sexually Abused Victims

Here are some further guides to making a sexual abuse compensation claim:

  • If you are unsure what counts as sexual abuse, look through our guide here. It’s also helpful for learning more about the likes of sexual harrasment. 
  • Information on how child sexual abuse solicitors could help you claim for a historical crime.
  • Our guide notes the uses of a CICA claim calculator when working out a potential settlement.

If you need support, please see these sites for useful information:

Thank you for reading through our guide. If you had wondered, ‘Are sexual abuse settlements taxable?’ and now want to know more about claiming, please get in touch.