Unemployment tax credit

Forum|Forum|5 years ago
March 17, 2021
5 replies
30 views

I started filing my taxes and have not completed it due to the amount owed. I received unemployment benefits for a while that was not taxed so I owe a lot this year. With Biden’s Stimulus I saw that we get credits up to 10k. Should I start my taxes all over again? Or will Turbo Tax update their systems? I haven’t seen anything about the change.

TurboTax Free Edition Online

SweetieJean

Alumni - Champ

Don't do anything just yet, and see this:

IRS Statement - American Rescue Plan Act of 2021 | Internal Revenue Service

SweetieJean

Alumni - Champ

It's up to $10,200; and is a Deduction (from income), not a Credit against taxes due.

garyward2

Level 2

When are you going to update your software

MaryM428

Level 11

Online TurboTax has been updated for the $10,200 exclusion from federal income tax. The desktop software is still being updated and that update will be applied as soon as possible. On desktop, make sure to update your software so you are using the latest version.

To update your desktop software:

At the top of the TurboTax page, click Online

Then click Check for Updates

TurboTax will then install all updates. If there aren't any updates, you will receive the message "Your software is up to date.