I was on unemployment last year due to covid. I chose to have them take the 10% of out of my check for taxes. now unless I understood it incorrectly, we're supposed to be getting that money back correct? I can't find anything on the TurboTax site or anywhere in regards to their customers getting their returns. And I'm not able to track it on the IRS website. Someone please help
You did not understand it correctly. You don't necessarily get back the amount that was withheld from your unemployment checks. The amount you will get back has nothing to do with how much was withheld. What you get back is the tax on up to $10,200 of the unemployment benefits that you received, provided that your Adjusted Gross Income (AGI), not including unemployment, is less than $150,000. It's based on the tax that's calculated on your tax return, not the tax that was withheld.
The IRS will recalculate your tax return and send you the additional refund. It might take several months to get it. There is no way to track it or to find out in advance how much you will get back. For more details see the following IRS announcements.
IRS to recalculate taxes on unemployment benefits; refunds to start in May
IRS begins correcting tax returns for unemployment compensation income exclusion
Usually you have to pay taxes on unemployment. Do to Covid the government has allowed the first 10,200 dollars of unemployment to be tax free. Anything over this amount you received will be taxed. The IRS is supposed to be handling this for the citizens. You should receive a refund because of taxes you paid on the unemployment. This should be included in your refund you received. Unfortunately, not the whole amount you paid will be refunded. It is a nice credit though, helps out substantialy.