IRS Declares Most Norfolk Southern Payments to East Palestine Residents Tax-Free

New IRS ruling exempts many disaster relief payments from taxation, aiding recovery efforts after last year's train derailment.

Most payments for temporary housing, relocation, and personal item replacements are tax-exempt.
Residents who have already filed taxes can amend returns to claim refunds on qualified payments.
Payments for lost wages and business compensations remain taxable.
The ruling follows advocacy from U.S. Senator Sherrod Brown and community pressure.
Norfolk Southern has spent over $1.1 billion on disaster response and settlements.