Could you clarify, please? What country did you receive this from? Is there a specific name for the payments that we could research? You would report the income on a Federal 1040 tax return, correct?
If the payment is a form of unemployment insurance, it would likely be taxable income and reportable.
I am inclined to think it is excluded from taxable income per IRS Publication 525 Taxable and Nontaxable Income page 28.
Disaster relief payments
You can exclude from income any amount you receive that is a qualified disaster relief payment. A qualified disaster relief payment is an amount paid to you:
- To reimburse or pay reasonable and necessary personal, family, living, or funeral expenses that result from a qualified disaster;
- To reimburse or pay reasonable and necessary expenses incurred for the repair or rehabilitation of your home or repair or replacement of its contents to the extent it’s due to a qualified disaster;
- By a person engaged in the furnishing or sale of transportation as a common carrier because of the death or personal physical injuries incurred as a result of a qualified disaster; or
- By a federal, state, or local government, or agency or instrumentality in connection with a qualified disaster in order to promote the general welfare.
@figoep
[Edited 03/02/2021 8:31 AM PST]
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