@jessi-kadlec - this is from the IRS website,
https://www.irs.gov/newsroom/irs-operations-during-covid-19-mission-critical-functions-continue#coll...
Status of Unemployment Compensation Exclusion Corrections: The IRS continues to review tax year 2020 returns and process corrections for taxpayers who paid taxes on unemployment compensation, to exclude the compensation from income if eligible. To date, the IRS has issued over 11.9 million refunds totaling $14.6 billion. Some taxpayers will receive refunds, while others will have the overpayment applied to taxes due or other debts. The IRS will mail a letter to affected taxpayers to inform them of the corrections, generally within 30 days from when the corrections were completed. See the 2020 Unemployment Compensation Exclusion FAQs for more information, including details on whether filing an amended return is needed.
Frankly, and there was anothr post on this today, if it were me, I would attempt to get through via phone to the IRS to try to undetstand "what is going on"; it's been 18 months.
If your tax return was 'simple' then this shouldn't be a problem. "simple" would be a) someone who filed single or b) married - joint where the unemployment was under $10,200. in both cases it's easy to determine the $10,200 limit per tax payer.
the 'difficult' returns are those where the unemployment income exceeded $10,200 and it was a married- joint return. The IRS doesn't know how that unemployment income breaks down between the spouses as it's not submitted as part of the tax return. EACH spouse is eligible for a $10,200 reduction, but the IRS can't easily figure out if the amount submitted is for one spouse or both as each has a separate $10,200 eligibility.
if you decide to call and find anything out, please post...... doesn't make sense that 18 months later there are still folks waiting for resolution.
