You'll need to sign in or create an account to connect with an expert.
What kind of collections? Most loans cannot be deducted on your tax return.
If it was a medical collections bill, then yes, you would be able to claim it as an itemized expense subject to the 7.5% threshold.
Itemized expenses include mortgage interest, state and local taxes up to $10,000, medical expenses in excess of 7.5% of your AGI and casualty and losses in excess of 10% of you AGI with the first $100 not counting towards the loss. Your health insurance and all medical expenses are only deductible for the amount that is over 7.5% of your AGI. This means if your AGI is $50,000, then the amount that is over $3,750 is deductible.
Then your total itemized expenses would need to be greater than your standard deduction below in order to benefit from your insurance premium payments.
The 2023 Standard Deductions are as follows:
Blind and MFJ or MFS add $1,500
Single or HOH if blind add $1,850
If you paid Student Loan interest, that would also be able to be entered on your return as a 1098-E.
To enter your Student Loan interest select the following:
Student loan interest will lower your taxable income and is a deduction you can take even when you choose to take the standard deduction.
If it was a different type of bill please respond back.
It was a collection for paying back a relocation assistance from a prior job. had left before the two years and had to pay back 50% to position I left. Before taxes from the company.
This is a claim of right repayment. You can only report it in the year you actually repaid the claim.
If your repayment is less than $3,000, you'll claim it as a Miscellaneous itemized deduction in Schedule A.
If the repayment is more than $3,000, please read this TurboTax Help topic on how to make the claim.
Still have questions?
Make a postAsk questions and learn more about your taxes and finances.
k-penkrot95
New Member
ddessert
Level 2
wordpuzzles_confound
Level 2
squirtlerocks10
New Member
suzannemarie63
New Member
Did the information on this page answer your question?
You have clicked a link to a site outside of the TurboTax Community. By clicking "Continue", you will leave the Community and be taken to that site instead.