Do I qualify for the unemployment tax break change? State is Tx if that matters.

I do have a number listed on my taxes, but it's simply just how much I earned from unemployment. I'm just unsure if I'm even eligible, unsure if I'm waiting for nothing or not.

423

Level 15

May 30, 2021 5:30:54 AM

TX has no state income tax so no state tax was withheld from your unemployment. If federal tax was withheld from your unemployment the IRS is automatically issuing refunds to those who filed before the tax law changed. You do not have to do anything.

Here is why you do NOT amend your federal return for unemployment:

Please read this very recent news from the IRS:

https://www.irs.gov/newsroom/irs-to-recalculate-taxes-on-unemployment-benefits-refunds-to-start-in-may

https://www.irs.gov/newsroom/irs-begins-correcting-tax-returns-for-unemployment-compensation-income-exclusion-periodic-payments-to-be-made-may-through-summe

Level 15

May 30, 2021 5:34:15 AM

See this TurboTax support FAQ for information on the unemployment compensation exclusion - https://ttlc.intuit.com/community/tax-credits-and-deductions/help/am-i-eligible-for-a-new-credit-or-deduction-because-of-the-unemployment-income-exclusion/01/2211778

Why sign in to the Community?

Do I qualify for the unemployment tax break change? State is Tx if that matters.