We found out we had unclaimed money with the Texas comptroller. We took the necessary step and received a check for $3000.00. How do we report this on our tax return?

[Critter]

Depends on what you got the money for ... most of these are not a taxable event.

[crofam]

It was a check that was sent to us to help with a foreclosure.  Needless to say we never got the check and lost the house.  We got a letter from the IRS saying we failed to claim the money on a tax return. We did some research and found out the check with still available through the Texas comptroller unclaimed money fund.

[Critter]

You can report it as other income on Form 1040 line 21. Here's how to enter it in TurboTax.

·         Click the Federal Taxes tab ( Personal in the Home & Business version)

·         Click Wages & Income. (Personal income in the H & B version)

·         On the screen "Your 2017 Income Summary," scroll all the way down to the last section, "Less Common Income."

·         Click the Start or Update button for the last topic, "Miscellaneous Income, 1099-A, 1099-C."

·         On the next screen, "Let's Work on Any Miscellaneous Income," scroll down and click the Start or Update button for the last topic, "Other reportable income."

·         The next screen asks, "Did you receive any other taxable income." Click Yes.

·         On the next screen, "Other Taxable Income," enter a description and the amount. Click Continue.

·         On the next screen click Done.

The income will be reported on Form 1040 line 21 with the description that you entered.

[crofam]

Thank you so much!