Where do i enter form 1099ltc. is it taxable income for me?

You'll receive Form 1099-LTC if you got money from long-term insurance or life insurance under an accelerated death benefits clause.

Here's how to enter your 1099-LTC into TurboTax:

1. Open (continue) your return if it's not already open.
2. From the upper right menu, select search and search for this exact phrase (copy/paste strongly recommended): 1099-ltc, long-term care - distribution
3. Select the Jump to link at the top of your search results.
4. On the Any Long-Term Care Contracts? screen, answer Yes to the first question (and Yes to the second question if it applies, otherwise No), select Continue, and proceed.

Generally, any amount received under a life insurance contract on the life of a terminally ill insured or a chronically ill insured will be treated as an amount paid by reason of the death of the insured.  Benefit meeting these requirements will generally be non-taxable income.

I received 1099-LTC form due to the insurance carrier going bankrupt, they supplied a cover letter which stated what I had paid into the long term care policy, the policy was issued after 1996. Is the payment I received taxable and does the amount they said I paid in which was much larger than what I received enter into any calculations?

This is taxable. Here's how to enter your 1099-LTC into TurboTax:

1. Open (continue) your return if it's not already open.
2. Search for this exact phrase (copy/paste strongly recommended): 1099-ltc, long-term care - distribution and select the Jump to link.
3. On the Any Long-Term Care Contracts? screen, answer Yes to the first question (and Yes to the second question if it applies, otherwise No) and select Continue.
4. Follow the instructions regarding the amounts you received. If you need Form 1099-LTC we'll fill it out for you.

Note: In TurboTax Online Free Edition, you'll be prompted to upgrade to Deluxe.

@zaydah