claim of right credit timing
I have a client who had to repay $10,000 for disability pay that was reported on his 2021 tax return. The disability company received the funds on Jan 4, 2022, however the debit occurred out of the taxpayer's checking account on Dec 29, 2021. The disability company did not include the repayment when it did the 2021 W2 as they said they didn't have funds available to them until 2022. Would you take the claim of right credit on the 2021 tax return or on the 2022 tax return? I feel like it should be on the 2021 return, but wanted a second (or more) opinion on the matter. Thanks!
