Do I amend my tax return to reverse out the LTD that was taken when I received my SSD?

Over two years I received $42,000 from the insurance company for my long term disability.  I paid taxes on that money; however, when I received my social security disability, the insurance company apprehended the $42,000 out of my SSD lumpsum.  Since I have already paid the taxes on the $42,000.  How do I get back the taxes?

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  • 4 weeks ago

    You won't pay taxes on the Social Security you didn't get so it works out in the wash.

  • 4 weeks ago

    YOU consult a tax professional.

    You DO NOT believe A Hunch knows what he is talking about.

    Note: His username is also his primary source.

  • 4 weeks ago

    Were your LTD benefits supposed to be taxed to begin with? 

    - paid with pre-tax dollars or your employer did not impute the benefit cost?

    LTD & SSDI are taxed the same.  There is nothing to recoop.

    Dear Steven,

    Who works at a bank and doesn't know how to google and probably has no clue what imputed income is =

    SS, SSDI, and LTD are all tax free to $24999 (single rate)

    $25K-$34K taxed at 50% of benefits. 

    $34001 and above taxed at 85% of benefits.

    ** Please say thank you to Joe Biden for the taxation of social security benefits and single handedly reducing the average senior's income by 17.5%

    Why are you so sexist that you think every person who you don't know their name is a man? Also,

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