Former Queensland Nickel workers who claimed unpaid entitlements from a $7 million fund Clive Palmer established before the federal election are now facing the prospect of hefty tax bills.

The workers, speaking anonymously after signing non-disclosure agreements, are calling on Mr Palmer to recategorise the payments, and seeking a Tax Office review, so they aren't slugged with thousands of dollars in tax liabilities.

Clive Palmer set up the $7 million fund in April after announcing he was running United Australia Party candidates in every lower house seat at the federal election. Credit:Darren England

Mr Palmer set up the fund in April after announcing he was running United Australia Party candidates in every lower house seat at the election. He went on to spend more than $50 million on campaign advertising although he failed to secure a seat in the May poll.

The controversial businessman faced the Supreme Court in Brisbane this week, where liquidators are trying to claw back about $200 million owed to creditors, including $66 million in entitlements for almost 800 sacked workers, following the 2016 collapse of his Townsville nickel refinery.