Normally a severance settlement would be reported on your W2. I would suggest checking your W2 to see if it is included in your box 1 wages. If you have not received it yet, it will included in income in the year received. If you have received it in 2020, contact your HR department to find out the tax reporting of the severance.
The pandemic has affected your taxes in many ways. Including reporting in TurboTax the amount of stimulus money you received. Click Here for more information on how the Pandemic affected your 2020 taxes.
