Hi
I received an email in March stating this:
"Dear TurboTax Customer,
We are contacting you because you had unemployment income on your 2020 tax return when you filed earlier this year.
Great news! The first $10,200 of your unemployment income may now be tax-free, if your household income is less than $150,000, based on the recently passed American Rescue Plan.
Even better news: The IRS says you don't need to do anything right now to take advantage of this benefit. The IRS assures us there is no faster way to get any additional money you are owed! Amending your return could delay your payment.
The IRS has not provided specific timing and details yet. We will reach back out when they do. You can also check the blog post here for the latest information.
Thank you again for being a TurboTax customer.
Sincerely,
TurboTax Care Team"
Then today I received this email:
"Dear TurboTax Customer,
We are following up on our earlier email regarding the increased Unemployment benefits. Great news! In addition to the unemployment benefits, you may now be eligible for additional deductions, credits or benefits on your 2020 TurboTax federal return.
Unemployment Income: Based on the recently passed American Rescue Plan, the first $10,200 of your unemployment income may now be tax-free. Since you filed before this law was in place, you could be owed an additional payment from the IRS.
Additional Deductions and Credits: Now that some of your unemployment income is tax free, your Adjusted Gross Income (AGI) may be lower. This means that you could now be eligible for additional deductions and credits.
In order to claim these additional deductions and credits, you will need to file an amended federal tax return. However, you do not need to file an amended state return at this time.
Amending is easy, and our experts are here to help. Simply log in to your account and select "Amend using TurboTax Online," and we'll guide you through it. In the unlikely event that these additional credits or deductions result in a product upgrade with additional fees, just continue with the amend process. You will reach a screen with instructions on how to contact an expert who will remove the fees. Everyone will be able to file their amended returns to gain these benefits at no additional cost.
Thank you again for being a TurboTax customer.
Sincerely,
TurboTax Care Team"
I took this as instruction that I should file my amendment, so I did. I'm seeing via your blog that it still says the IRS will process this automatically, but the email I received prompted me to do the amendment myself. Did I do this in error, should I have waited? Does this mean that the amendment will be delayed? Could someone provide me with updated information on the matter. It also states that the refund will be in the form of a check mailed to me, where as my normal refunds have always been direct deposit, can anyone confirm what type of refund I will be receiving?
Thank you,
Ilanders P
