Hello, my name is Raymer Maguire, I am a 30 year practitioner, that limits his practice to representing property owners and businesses. The question at hand is, do you have to pay taxes on the “full compensation” that you’re paid from an eminent domain action? The answer is, yes, but, it’s approximately parallel to what you would pay if you were selling your property to a private citizen. There are though, more favorable tax rules and tax laws and the ability to pass on your capital gains onto another day, another year. So you’d have to talk to a tax advisor about the details.