It can be extremely frustrating when IRS doesn't handle issues the way we expect them to. In your situation, you will need to file an amended tax return to reduce your spouse's unemployment income by the $10,200 exclusion that she's allowed. Be sure to reflect the refund amount that you actually received from IRS's recalculation in addition to the original refund on the return when filing the amended return.
https://blog.turbotax.intuit.com/tax-news/am-i-eligible-for-the-new-unemployment-income-relief-49427...
**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
