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Should I file to amend NM state tax forms for the new unemployment tax exemption, even though NM does not tax unemployment benefits on a state level?

I received an email from TurboTax advising me to amend my state tax forms due to the new unemployment tax break for 2020. But when reviewing my 1099-G, NM never withheld anything on a state level. I still proceeded to start the amendment process with TT online and at the end of the amendment, all the numbers match my original return and it does not seem like I'll get any sort of credit or additional refund.
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1 Reply
AmyC
Expert Alumni

Should I file to amend NM state tax forms for the new unemployment tax exemption, even though NM does not tax unemployment benefits on a state level?

If you went into your return looking around, then all of your numbers would have been updated with the program. Your unemployment was taxable until NM decided to follow the federal and make  the $10,200 nontaxable. It is reasonable to believe that you paid tax on that income and it needs to be refunded to you.

 

Please verify that your amended form shows different amounts from the original filing and this one. Line 9 should have a difference of $10,200 between the two columns. If not, the amend is wrong.

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