topic If the Covid relief bill passes today, and unemployment taxes get reduced by the $10,200, how does that affect taxes that were already taken for taxes already filed? in Get your taxes done using TurboTax

If the Covid relief bill passes today, and unemployment taxes get reduced by the $10,200, how does that affect taxes that were already taken for taxes already filed?

jnelso90 — Wed, 10 Mar 2021 15:25:23 GMT

Filed 2020, but with an additional amount taken for unemployment. Will that be added to my refund?

Re: If the Covid relief bill passes today, and unemployment taxes get reduced by the $10,200, how does that affect taxes that were already taken for taxes already filed?

xmasbaby0 — Wed, 10 Mar 2021 15:32:22 GMT

It can take weeks to several months or more for the changes to be made to tax software. First the IRS has to change its forms. The tax software has to be changed; the IRS has to test and approve of the software. Do not expect changes in the software to happen quickly. TurboTax may have more information in the near future AFTER the bill is signed into law, and some more details emerge about how Congress and the IRS will implement the changes.

Re: If the Covid relief bill passes today, and unemployment taxes get reduced by the $10,200, how does that affect taxes that were already taken for taxes already filed?

fanfare — Wed, 10 Mar 2021 16:18:59 GMT

that is a 2021 tax change and affects persons who collect UI in 2021.

Re: If the Covid relief bill passes today, and unemployment taxes get reduced by the $10,200, how does that affect taxes that were already taken for taxes already filed?

fanfare — Wed, 10 Mar 2021 16:28:39 GMT

oops silly me I guess I should read the bill before jumping to conclusions.

I'd expect IRS to recalculate all those tax returns and send you a check, sooner or later.