Updated Refund Amount

[NikkiL]

I received unemployment in 2020. I've already filed my taxes and received my federal and state refunds and those amounts show when I first log in to TurboTax. Since the latest stimulus bill has passed, which includes a provision about unemployment, the IRS has announced that they will automatically update already-filed tax returns (we don't need to file an amendment).  When I click on the "Amend (change) my return", it shows a larger amount for my federal and state returns. Does this mean TT has already updated my return and I can expect to receive the difference at some point or is this a glitch?

[LenaH · Accepted solution]

If you have not updated anything else on your return, then it is likely that the refund showing is the new refund amount and you will be receiving the difference.

To double-check if unemployment is being removed on your return, please follow the instructions below:

1. Click on Tax Tools.
2. Click on Tools.
3. Click View Tax Summary.
4. Click on Preview my 1040.
5. Scroll down to Schedule 1, Part 1. You will see your unemployment on Line 7 and the deduction of up to $10,200 on Line 8.

I have attached a picture below for additional guidance.

If you see your unemployment being removed on Line 8, and you made no additional changes to your return, then you should be getting the difference of the refund showing currently versus the refund already received. 

[NikkiL]

Thank you! I just checked and it has been updated! 

[Riky]

Hello, 

I received the difference in the refund from the State of Oregon in the Spring but I have not received the difference in refund from the Federal. Could you please let me know what can I do? When I type the updated amount on "where is my refund?" the IRS cannot confirm who I am. Also, I am not sure if the new amount was transmitted to the IRS, how can  check that , if possible?

Thank you!

[VolvoGirl]

@Riky   What is the difference from?  Did you file before the unemployment exclusion?   Did you get the first refund (or pay a tax due)?  If your return was updated it was not sent to the IRS or state unless you sent in an Amended return yourself.

If you have filed early before the exclusion, the IRS will recalculate your return for the new 10,200 unemployment exemption for you. There is no need for taxpayers to file an amended return unless the calculations make the taxpayer newly eligible for additional federal credits and deductions not already included on the original tax return.

No way to track it.  Just keep waiting.  The IRS is sending them out in batches over the summer.

See IRS news July 13, 2021

https://www.irs.gov/newsroom/irs-readies-nearly-4-million-refunds-for-unemployment-compensation-over...

See IRS article May 14, 2021

https://www.irs.gov/newsroom/irs-begins-correcting-tax-returns-for-unemployment-compensation-income-...

[Riky]

@VolvoGirl Thank you!

The difference is between what I received based on my initial filing with TT and what TT is saying that I should have received (I guess because I filed before the unemployment exclusion) I got that original refund from the IRS and from my State, then I got my updated amount from the State but I have not yet received my updated amount from the Federal. I did not do anything to receive the updated amount from my State so I am guessing I do not have to do anything to receive my updated amount from the Federal (or should I?)

Based on your info, which I appreciate, I should keep waiting since it seems that they are not done yet? Will there be a way to know when they are done sending all the adjustments?

Thank you!

[ljb58]

My return was updated in Turbo Tax, but I still have not received my refund for the change in the taxability of the Unemployment.