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New Member
posted Jan 28, 2021 1:09:36 PM

I received unemployment benefits in 2020 but was told I had to pay it back, so my case is currently under appeal, do I have to claim what I received?

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3 Replies
Expert Alumni
Jan 28, 2021 1:38:35 PM

Yes.  You will need to report in TurboTax the Unemployment benefit amounts on the 1099G received.  If it is later determined you have to pay the amounts back:

  • If the repayment is $3,000 or less, then no deduction is allowed
  • If the repayment is more than $3,000, then you can claim a deduction on Schedule A, Line 16 or
  • Claim a tax credit by re-calculating the tax form from the earlier year without the income that was later repaid.

I have heard and read many states are not requiring the repayment of the Federal Pandemic Unemployment Compensation benefits paid during 2020.  

New Member
Jan 28, 2021 3:17:44 PM

How can I file my unemployment with you all after just filing my taxes?

Expert Alumni
Jan 28, 2021 3:34:53 PM

If you received the 1099-G after submitting your return, wait until the IRS either accepts or rejects the return.

If the IRS rejects the return, you can report the 1099-G form and re-submit.

If the IRS accepts it, wait until the return has been fully processed and then amend it. 

 

To amend your 2020 return:

1.Log in to your account.

2.Scroll down to Your tax return & documents (you may need to select Show),

   select 2020 and then Amend (change) return.

3.Select Amend using TurboTax Online.

4 Follow the instructions. Don't worry if your refund changes to $0. This is normal on amended returns.

5.You can e-file your 2020 amended federal tax return, but most states require amendments to be printed and filed by mail.