@Cynthiad66
Under the New law (ARPA) the gross income of the taxpayer should not include up to $10,200 of the unemployment compensation received of any tax year beginning in 2020. The limit for the exemption is for an adjusted gross income (AGI) if it is less than $150,000. The same limit applies to returns filed jointly, as head of household, or with single status. However, in the case of a joint return, the $10,200 exclusion applies separately to each spouse. New Code Sec. 85(c) does not provide for a phase-out based on AGI. (Code Sec. 85(c)(1), as amended by ARPA Sec. 9042(a)).
**not intended to be tax advice. If you need professional tax advice, call the IRS or an accountant
