Unemployment is taxable on your federal return and it is taxed by the state of New York. If you did not have tax withheld from your unemployment --- or not enough withheld---you are now facing the lowered refund because of the extra taxable income you received.
**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.**
