10200 Unemployment Not Being Exempt

[dhbmmoran]

I have not filed yet. I thought I should wait until turbotax updated. 

[Critter-3]

@dhbmmoran 

Review the Sch 1 as mentioned in the other answers to see the unemployment listed and the amount that is not taxable.   Depending on what your income is and if you have qualifying kids and credits then you may not see any difference to the bottom line at all ... review the ENTIRE return to see the results.  

[Njdre80]

@macuser_22 Where is this stated in writing that this is the correct process and not to amend? I've been tracking this closely as I already filed, but so far it it seems the word is to wait for instructions.

[macuser_22]

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@Njdre80 wrote:

@macuser_22 Where is this stated in writing that this is the correct process and not to amend? I've been tracking this closely as I already filed, but so far it it seems the word is to wait for instructions.

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The head of the IRS said it in a Congressional hearing Thursday.

https://abcnews.go.com/Politics/2020-jobless-benefits-tax-exempt-10200-explained/story?id=76562876

You can go to CSPAN and watch the hearing if you want.

Should those Americans who have already filed taxes without knowing about the $10,200 exemption file an amended return?

"Absolutely not," the head of the Internal Revenue Service Charles Rettig said in testimony on Capitol Hill Thursday.

"We believe we’re sensitive to the situation that people are in. We believe that we will be able to handle this on our own. We believe that we will be able to automatically issue refunds associated with the $10,200," Rettig told lawmakers.

This IRS article also says do not amend.

https://www.irs.gov/newsroom/irs-statement-american-rescue-plan-act-of-2021

[AmeliesUncle]

This IRS page says to not amend yet:

https://www.irs.gov/newsroom/irs-statement-american-rescue-plan-act-of-2021

For those who received unemployment benefits last year and have already filed their 2020 tax return, the IRS emphasizes they should not file an amended return at this time, until the IRS issues additional guidance.

[bchrist771]

Liar liar pants on fire.  No update has taken place yet.  Really TURBO TAX

[macuser_22]

Online IS updated.  There is a desktop update currently scheduled for 3/26.

Online is simply a code change in TurboTax's OWN web server that they can done anytime.

Desktop updates must be complied and packaged for 4 different Windows versions and 4 different Mac versions. The Mac update is about a 220MB file that can take an hour to download on a slow internet connection (that many still have have to pay by the MB) and 1/2 hour or more to install. Too many updates is very time consuming and inconvenient for many desktop users.

[etcrane]

Right ... as opposed to the inconvenience desktop users might experience from not being able to use the product they purchased to actually file accurate taxes. No offense but this will most likely be my last time using any version of Turbotax and definitely my last time using the desktop version (which ironically most sites recommend as the preferred option to the online version). 

It's absolutely ridiculous to have one version of the software updated while other users are forced to potentially wait an entire week. Either roll it out all simultaneously or notify desktop users of an option to shift over to the online software if they would like to complete their taxes sooner. 

The only tax advice I would give everyone is to avoid Turbotax in the future.

[Troueche]

Monday at 4:12 pm EST and no updates for my unemployment credit.  Still shows full amount as taxable income

[NeuroPsyche]

Same here. 

Monday 7:08PM March 22nd, 2021. 

Forced and update fetch and 'No updates found'. 

agh... 

[Skydeck]

I still don't have the update; what's going on

[macuser_22]

Online has the update, desktop will be 3/25 - probably late afternoon.

[javieracosta12]

This is the message i'm getting that is different than when I started filing last month: 

You qualify for new tax benefits

You get additional tax relief as part of the American Rescue Plan because you told us you received unemployment.

Here are your options:

• Wait to file while we work to include these federal and state benefits on your return. We’ll save your return and notify you by email once everything’s ready.
• Or file now and wait for an update from the IRS on how to claim your additional benefits.

When I click on "I will file later" i get this message:

OK, we’ll let you know when it’s time to file

We’ll send you an email when it’s time to come back and file. Everything should be ready by early April at the latest.

[ChessPlayer]

TT is alienating a significant number of users for simply a failure to communicate - sounds like a line from an old movie!

All they need to do is provide an ETA.  We'll see if an update comes on 3/25 - one week since the last update on 3/18.

[NeuroPsyche]

Yes, agreed. But, they need to keep their promises on an ETA. 

They announced that they were going to release the updates on Thursday, March 18th, then they said Friday, and then I believe they said over the weekend. None of their ETAs were kept. It's really sad that a company like Intuit doesn't have the manpower or foundation to test and then push out to production quicker. 

I'm a network / systems engineer and where I work we can write code, test, and push out to production almost on the fly.