1099-G Box 2

[Carfreeguy]

I don't know where to enter 1099-G box 2. I believe this amount has something to do with an unemployment offset.

Thanks in advance.

[MinhT1]

Box 2 of form 1099-G does not relate to unemployment at all.

Box 2 reports state and local tax refunds, credits or offsets. Most commonly, it is for a state tax refund.

Please read this TurboTax Help topic on how to enter it in TurboTax.

[Carfreeguy]

Thanks for your comment but sorry, this isn't common. I was unemployed and I believe it the state's way of handling the pandemic unemployment money from the federal government. I didn't get this money directly. My box 1 seems over inflated and this should be a deduction in my opinion.

[Carfreeguy]

It has nothing to do with 2019 either.

[DMarkM1]

As @MinhT1 states the amount in Box 2 of a state issued form 1099G shows a refund.  You will enter that amount as another 1099G under the  "Other Common Income" topic, using the "Refunds received for state/local..." subject.  This amount will likely not be taxable assuming, you did not itemize on your 2019 tax return.  

According to the IRS as stated here,  the pandemic unemployment payments they will show up as unemployment benefits in box 1.  They are taxable income.  You should enter that box 1 amount in the "Unemployment" 1099G topic.

[Carfreeguy]

Ok thanks, I understand the box 2 amount. My box 1 is significantly more than I actually received and the state has sent me a repayment amount that I didn't make. I believe it is some sort of correction between the state unemployment and the pandemic unemployment. Can I list that amount as repayment? I believe it would make my income amount closer to the correct amount received.

[MayaD]

You must enter the 1099-G the way it is. If the amount in box 1 is incorrect you need  to contact the state department that sent it to you to request a corrected 1099-G form. 

You can't report the amount that you have to repay until you actual pay back that amount.