I recommend reviewing your input into the program to ensure you are only reported your income from your 1099-G.  You will need to verify this information was not entered as wages.

Log back into TurboTax.

1. Go to the Federal section of the program. 
2. Select Income & Expenses
3. Select Job (W-2)
4. Select the little trash can icon to the right of the applicable W-2 entry if you do not have any wages to report to remove this from your tax return.  This will also remove the error you are receiving.

Your 1099-G information should be entered as follows:

1. Select Income & Expenses
2. Scroll down to All Income and select Unemployment
3. Select Unemployment and paid family leave
4. You will be able to enter your information from your Form 1099-G

I have also attached a link with more details on how to locate the information you need from your Form 1099-G.

1099-G input for paid family leave or unemployment

Once you make the corrections above, the error should be gone and you will be able to proceed with your tax return.

If I only have 1099-G for unemployment compensation, do I have to fill tax even though I already had tax withheld?  Thank you for your response.

Yes to see if they took out the right amount or you get a refund.  And now you can exclude 10,200 of unemployment so you may get a refund of the taxes withheld.  And you need to enter the amounts you got for the first 2 rounds of the Stimulus to see if you qualify for more of that.   And maybe for some other reasons.  Are you a dependent?

You don't have to file your federal tax return if an amount of your unemployment compensation was less than $12,400, however if federal income tax was withheld it is most likely beneficial for you to file your tax return because you could receive your federal tax refund. 

yes i am