After you file

The Unemployment Compensation Exclusion (UCE) is forgiveness of  the Federal tax on the first $10,200.00 of Unemployment income received.  So if your unemployment compensation was $13,200.00, the tax on the first $10,200.00 is forgiven.   You would only pay tax on the remaining $3,200.00.  But, this only applies if your household income is under $150,000.00 .

 

This would be reflected in Schedule 1, Part 1, Line 8  The UCE figure will be a negative amount UP TO $10,200.00.  That's the ceiling.

 

Hope this helps,

alec