topic Overpayments of benefits - Repaid in Get your taxes done using TurboTax

Overpayments of benefits - Repaid

JohannSmithza — Tue, 11 Jan 2022 18:12:11 GMT

I was informed that I had to repay all the benefits (unemployment) that I received which I did.

Where do I record this on my tax return?

Critter-3 — Tue, 11 Jan 2022 18:14:40 GMT

Were the benefits paid and repaid in the same tax year ?

JohannSmithza — Tue, 11 Jan 2022 18:19:20 GMT

The benefits were paid in 2020.

I made some repayments in 2020 and then in 2021.

Amount was $5029

Critter-3 — Tue, 11 Jan 2022 18:22:35 GMT

Wait for the 1099-G form ... it should have the repayment already reflected on it same as it was on the 2020 form.

JohannSmithza — Tue, 11 Jan 2022 18:23:39 GMT

Thanks

Mike9241 — Tue, 11 Jan 2022 18:29:37 GMT

the amount repaid in the same year as received (2020) should have been excluded from taxable income.

to get any benefit of the amount repaid in 2021 it must exceed $3,000

then you have an option

1) take as a deduction on schedule A line 16 and denote as IRC 1341 repayment

OR
2) recompute the taxes for 2020 by excluding the payment. the decrease in taxes is taken as a credit on schedule 3 line 12d denote as IRC 1341