Sign Up

Why sign in to the Community?

  • Submit a question
  • Check your notifications
or and start working on your taxes
cancel
Showing results for 
Search instead for 
Did you mean: 
izzyishh
New Member

When and how will we be exempt from paying federal taxes on the first $10,000 from unemployment?

this was included in the most recent relief bill
3 Replies
xmasbaby0
Level 15

When and how will we be exempt from paying federal taxes on the first $10,000 from unemployment?

https://ttlc.intuit.com/community/tax-topics/help/how-will-the-stimulus-package-impact-me/01/1393859...

 

 

 

You are among millions who have now been affected by a mid-tax season change in the tax law.  Patience will be necessary.

TurboTax will update the software for the unemployment but there is no timeline yet.

  If you have not e-filed yet—-wait.   And if you already e-filed and want to amend for this—WAIT.

 

**Disclaimer: Every effort has been made to offer the most correct information possible. The poster disclaims any legal responsibility for the accuracy of the information that is contained in this post.**
KathrynG3
Expert Alumni

When and how will we be exempt from paying federal taxes on the first $10,000 from unemployment?

When: The update will occur as soon as possible. If you have not yet filed, wait for this update to be evidenced by watching the Refund Tracker to be increased as @xmasbaby0 states. If you have already filed, do not worry. The IRS will recalculate the tax balance and refund any portion due.

 

How: The IRS intends to work with tax software companies to add an additional worksheet.

 

See: IRS Statement - American Rescue Plan Act of 2021

New Exclusion of up to $10,200 of Unemployment Compensation

xmasbaby0
Level 15

When and how will we be exempt from paying federal taxes on the first $10,000 from unemployment?

@KathrynG3 Woohoo!!!!!     Thanks for posting that news!    This will really help with all the questions!!!!

**Disclaimer: Every effort has been made to offer the most correct information possible. The poster disclaims any legal responsibility for the accuracy of the information that is contained in this post.**
Dynamic AdsDynamic Ads
Privacy Settings
v