Why is TurboTax telling me to file an amended return to claim the unemployment tax credit while the irs is telling me not too?

[VolvoGirl]

Why do you expect it to be refunded?   It might be.   You get credit for it and it increases your refund or reduces a tax due.  Are you really asking about the 10,200 exclusion?  When did you file?  Did you file before the exclusion?

Your unemployment compensation will be on Schedule 1 line 7.  The exclusion will be on Schedule 1 Line 8 as a negative number. The result flows to Form 1040 Line 8.

[Kisha591]

I forgot to file unemployment taxes. How do I go about filing them. 

[xmasbaby0]

@Kisha591 Do you mean you already e-filed without entering unemployment you received in 2021?

You cannot change or add anything on the return that you just e-filed, nor can you stop it.  It is too late, just like when you put an envelope in a US mailbox on the corner.  The IRS does not allow you to take it back.

If you left out a W-2, a 1099G, or a dependent, or a 1099 etc…DO NOT change your return while it is “pending.”  The changes will go nowhere.

Now you have to wait until the IRS either rejects or accepts your return.  If your return is rejected, you will be able to go into your account and make the necessary changes to your tax return and re-submit your return. 

 If the IRS accepts your return, however, then you have to wait longer until it has been fully processed and you have received your refund.  THEN you can prepare an amended tax return and e-file or mail  it in. You have to be able to work from that return exactly the way it was when it was e-filed originally.  You will need to use a form called a 1040X.

  Meanwhile, DO NOT go in and start changing anything on your return in the system, or you will make a mess for yourself.  Sit tight and wait until you see what the IRS does with the return you just e-filed

The Form 1040X you need will not be available until mid-March.

[Kisha591]

I forgot to file my 2020 unemployment 1099 g form. And the Irs has already approved my taxes.

[xmasbaby0]

What tax year?    Now you say 2020?    If you received unemployment in 2020 it was supposed to go on your 2020 tax return.   You will need to amend your 2020 tax return to put a 2020 1099G on it.   Please clarify what year you received the unemployment.

[Theoffice22]

I filed my 2020 taxes before the exclusion for employment. I had federal taxes deducted from my UC. I still have not received a refund. How do I make the adjustment on an amended return? I can't figure it out on the Turbo Tax software!

[JillS56]

Originally the IRS was correcting the returns already filed and issuing any refunds to the taxpayers.   Did you receive the refund from the original filing of your return?    If not, it is possible that the IRS has not yet reviewed and processed the update on the unemployment.    

However, if you have already received your refund and it was not adjusted and you have not received any additional refund due to the adjustment for the unemployment, then at this point I would suggest that you amend your 2020 taxes to get the refund for the none taxing of the $10,200 of unemployment.