A municipality recently entered into an agreement with a railway company whereby the railway is going to deposit monies with the municipality for sound mitigation for owners of property adjacent to the RR. Essentially, the municipality will administer the fund and eligible owners will apply and receive payouts from the municipality for landscaping and/or fencing buffers on their properties.
A question has come up as to whether the monies from the municipality would be considered income and therefore taxable to the owners? Any thoughts on where I could start my research?
A question has come up as to whether the monies from the municipality would be considered income and therefore taxable to the owners? Any thoughts on where I could start my research?