In October 2023 I returned to work and told Social Security to stop sending me monthly SS Disability Insurance checks, but they didn't stop until March 2025. They then did request a refund which was sent last week (early April 2025), but the check hasn't been cashed yet.
For 2023 there weren't taxes due on the SSDI due to my low salary of three months (and disability payments).
For 2024, with the combination of my salary and SSDI, Turbo Tax calculated I owe taxes on the SSDI. (Without including SSDI I would get a small refund.) The SS-1099-SM indicates I did receive these funds. It is too early for a corrected SS-1099-SM.
I don't want to pay about $2,500 in taxes for 2024 on money I've returned. When filing for 2024, do I include the SSDI funds? A volunteer tax preparer said not to, but to later expect a letter from the IRS pointing out the discrepancy. At that time I'd have to mail back a copy of my cancelled check repaying the money to (from October 2023 to March 2025) to SS, and maybe the corrected SS-1099-SM if I am able to get one by then.
Is that the right thing to do, or do I have to pay the $2,500 now and file an amended 2024 tax return with the corrected SS-1099-SM once I can get the form? (I don't know how long that might take.)
(I live in a state where the tax filing deadline was extended till May 1 this year.)
