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Can you help? I had to pay back disability wages from private insurance company from 2022 and 2023. I reported it as wages in prior returns. $22,000.

 
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2 Replies
ee-ea
Level 15

Can you help? I had to pay back disability wages from private insurance company from 2022 and 2023. I reported it as wages in prior returns. $22,000.

MarilynG1
Expert Alumni

Can you help? I had to pay back disability wages from private insurance company from 2022 and 2023. I reported it as wages in prior returns. $22,000.

You can file a Claim of Right Repayment to report the disability wages you had to repay from 2022 and 2023.

 

While you still have to repay the money, there are a couple of ways you can get a tax break by reporting the repayment on your current year tax return:

 

  1. Take a simple deduction of the repaid income from the current year’s income (this is the easiest option for taxpayers who itemize their deductions).
  2. Use TurboTax CD/Download to calculate the amount of tax you overpaid and take a refundable credit.
    • You should test both methods and use the one that results in the lower overall tax.

Here's more detailed instructions on How to File a Claim of Right Repayment.

 

 

 

 

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