Unemployment compensation is taxable, so you will have to report it on your tax return. You will receive a 1099G in the mail, or you may need to access it via your state's unemployment website. Unemployment compensation will not count as earned income toward the Earned Income Credit, but it will count as income in determining if you are eligible to receive EIC. When all of your income and your dependent information has been entered into the software, TurboTax automatically calculates your EIC if you are eligible for it and adds it to your refund. If you have a child born in 2017, make sure that on your 2017 tax return you indicate that the child lived with you all year.
**Disclaimer: Every effort has been made to offer the most correct information possible. The poster disclaims any legal responsibility for the accuracy of the information that is contained in this post.**
