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Yes - look up IRS Section 1341 “Claim of Right Income Repayment”. Depending on how much you paid back, you’ll either get a tax credit or deduction. If the latter, hoping you’re going to come out ahead with an itemized deduction this tax year then, since otherwise you won’t see the tax benefits.
If you’re paying it back the same year it was paid out, no tax implications. The employer can handle it internally. However if you are paying it back after the year it was paid out, you owe your employer the gross that was paid to you. Make sure they give you written documentation, and you go and you file your taxes. The IRS will either give you a credit or a deduction that will lower your taxable income for the year you’re filing for.
Ya, i didn’t pay it back. They threatened to sue, my lawyer told them he’s happy to see them in court. They never bother to follow through. Biggest win I had that year.