Unemployment tax credit

I filed my taxes before the new law was put into place for the unemployment tax break my transcripts updated with a 290 code as of 8-30 $.0.00 and my adjusted gross income changed to -$2000 will I get the unemployment tax credit or not?

posted

There is no credit. Unemployment income greater than $10,200 is taxable. If you have no tax liability that deduction is not relevant.

If you have filed. The IRS will recalculate your return for the new unemployment exemption for you. There is no need for taxpayers to file an amended return unless the calculations make the taxpayer newly eligible for additional federal credits and deductions not already included on the original tax return.

No way to track it. Just keep waiting. The IRS is sending them out in batches over the summer.

See IRS news July 13, 2021
https://www.irs.gov/newsroom/irs-readies-nearly-4-million-refunds-for-unemployment-compensation-over...