@shaleeamadeo
The problem is that unemployment compensation is only excluded from income tax up to $10,200. The income still counts when determining your eligibility to make IRA contributions, taxability of social security benefits, to qualify for the earned income credit, and a bunch of other things. So simply making the adjustment you suggest will not correct for all of those other factors, and could lead to an incorrect tax return if you fall into one of those situations.
