I reimbursed my LTD insurer for 2 yrs of retroactive SSDI benefits that were paid 2020. Is there a TurboTax (online?desktop?) product for a human to walk me through this?

[2015questions]

I read https://ttlc.intuit.com/community/taxes/discussion/2017-ssdi-lump-sum-repayments-to-ltd-long-term-di... .

However, I'm not confident I understood what I have to do (in 2021). Which TurboTax product (if any) would get me step-by-step help (or ideally have someone prepare the return(s) for me)? Can this be handled online or do I need a desktop version?
Has any of this changed in the newest version of TurboTax that came out this year (2021)?

The LTD insurer is a private Long Term Disability insurer. The SSDI award of ca. $55k arriving in 2020 covered the period starting April 2018. I paid back over $58k in 2020 to the private LTD insurer for "overpayment of benefits."

I don't expect to otherwise need to itemize deductions for FY2020, so I *expect* I will want the tax credit as opposed to the deduction, but I'm not sure.

Thanks in advance for any help you can provide!

[ToddL99]

The link you mentioned is the correct one for handling your issue - a Claim of Right - and the tax credit approach is almost always preferable to claiming the deduction.

A desktop version of TurboTax (CD/Download) is necessary - TurboTax Deluxe should be sufficient. The IRS has not "streamlined" the Claim of Right process, so it hasn't gotten any easier to do in TurboTax.

Using the "Claim of Right" process is a complicated process, so asking for help is often the best approach. In TurboTax Live with Full Service, you have a dedicated tax expert or CPA to prepare, sign, and file your return for you. You can review everything with your expert before they file knowing that your taxes are done right, backed by our Expert Approved Guarantee.

Note: TurboTax Live is available for TurboTax Online customers only. TurboTax Live isn't available in the TurboTax CD/Download software.

[2015questions]

Thank you, @ToddL99 , for your thoughtful explanation!

If I purchase TurboTax Live with Full Service (as an option for TurboTax Online), do I also need to purchase the CD/Download version to take advantage of the Claim of Right? Or will my TurboTax Live with Full Service tax preparer be able to handle that for me (with me only using TurboTax Online)?

[2015questions]

One additional thing, I noticed the following Intuit page states that the Full Service product does not support anything that TurboTax Online does not support:

https://ttlc.intuit.com/community/choosing-a-product/help/what-is-full-service-by-turbotax-live/00/2...

I understand from the previous answer that TurboTax Online will not support claiming a tax credit for my LTD repayment situation. Does this mean that the Full Service product will also not support that?

Thanks!

[JeanneLO · Accepted solution]

Yes, you are correct our TurboTax Live with Full Service product will not support this.

@2015questions