DaveF1006
Expert Alumni

Tax law changes

It depends. There may be a reason why the company was told to report the payments on a 1099G. This may be because 1099G income that was reported was from employer contributions and not ‌employee contributions. If this is the case, the amount reported is taxable on both the federal and state income tax returns. Employers will contribute to these programs to deduct the amount they contribute to mandatory paid family and medical leave programs as a payment of excise tax. This offers a tax advantage for them while promoting goodwill to its employees.

 

Before, you attempt to exclude this from Connecticut's income, check with your company to find out if any of the contributions were employer-based because your employee contributions should not have been reported on the 1099G. 

 

IRS issues guidance for the District of Columbia and states that have paid family and medical leave ...

 

@quetsm

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