When will the $10,200 of unemployment tax exemption go into effect?

[Critter-3]

The IRS is correcting the returns automatically sometime in May or June (could be later) so you may get your original refund first with the balance to come later.   If you owed on the original return and did not pay because you will no longer owe with the change then ignore the letter as it will no longer be valid after the change. 

[sblanchette01]

MY wife and I still have not recieved my unemployment tax compensation for what we paid in on our taxes as we was told that the IRS will automatically refund people that did the taxes early when will we recieve this money?

[xmasbaby0]

@sblanchette01

If you are eligible for the extra refund for federal tax that was withheld from your unemployment the IRS will be sending you an additional refund sometime during the next several months.  TurboTax cannot track or predict when it will be sent.  The IRS has not provided a way for you to track it, so all you can do is wait for the refund to arrive.

https://ttlc.intuit.com/community/tax-topics/help/how-do-i-get-the-new-unemployment-benefits-if-i-ve...

Please read this very recent news from the IRS:

https://www.irs.gov/newsroom/irs-to-recalculate-taxes-on-unemployment-benefits-refunds-to-start-in-m...

https://www.irs.gov/newsroom/irs-begins-correcting-tax-returns-for-unemployment-compensation-income-...

https://ttlc.intuit.com/community/tax-credits-and-deductions/help/am-i-eligible-for-a-new-credit-or-...

https://www.irs.gov/newsroom/2020-unemployment-compensation-exclusion-faqs

[DoninGA]

---

@sblanchette01 wrote:

MY wife and I still have not recieved my unemployment tax compensation for what we paid in on our taxes as we was told that the IRS will automatically refund people that did the taxes early when will we recieve this money?

---

The IRS controls when the tax refund for the unemployment compensation exclusion is distributed.

TurboTax receives no information from the IRS concerning tax refunds.

Go to this IRS website for UC Exclusion - https://www.irs.gov/newsroom/irs-begins-correcting-tax-returns-for-unemployment-compensation-income-...

Go to this IRS website for UC Exclusion FAQ's - https://www.irs.gov/newsroom/2020-unemployment-compensation-exclusion-faqs

[fbmcardl2]

@sblanchette01In the same boat, but a site on Twitter where users are voluntarily reporting indicates that some refunds are starting to show up this week, so you can share experiences there. You can search for Unemployment Refund Status there. I'll try and attach a link but Turbo Tax often purges some of them.

unemploymentRefundStatus@unemploymenttax

[fitzjeff73]

I did my taxes in March. I have done nothing on the tax credit and I received 967 dollars 4 days ago from the IRS. Now I'm just waiting in my state. 

[Suebelle]

Have not received amended 2020 for unemployment. Was wondering when or how I proceed or do I just wait. I filed before law was signed into effect?

[VolvoGirl]

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.

Just keep waiting. The IRS is sending them out in batches over the summer.
See IRS article May 14, 2021
https://www.irs.gov/newsroom/irs-begins-correcting-tax-returns-for-unemployment-compensation-income-...

And see,
https://www.irs.gov/newsroom/irs-sending-more-than-2-point-8-million-refunds-to-those-who-already-pa...

[kvalentine1970]

how do i know if i get a refund on unemployment if already filed before passed the exemption 

[xmasbaby0]

The IRS began to send out the additional refund checks for tax withheld from unemployment in May.   If you are eligible for the extra refund for federal tax that was withheld from your unemployment the IRS will be sending you an additional refund sometime during the next several months.  TurboTax cannot track or predict when it will be sent.  The IRS has not provided a way for you to track it, so all you can do is wait for the refund to arrive.

https://ttlc.intuit.com/community/tax-topics/help/how-do-i-get-the-new-unemployment-benefits-if-i-ve...

Please read this very recent news from the IRS:

https://www.irs.gov/newsroom/irs-to-recalculate-taxes-on-unemployment-benefits-refunds-to-start-in-m...

https://www.irs.gov/newsroom/irs-begins-correcting-tax-returns-for-unemployment-compensation-income-...

https://ttlc.intuit.com/community/tax-credits-and-deductions/help/am-i-eligible-for-a-new-credit-or-...

https://www.irs.gov/newsroom/2020-unemployment-compensation-exclusion-faqs

https://www.irs.gov/faqs/irs-procedures/forms-publications/new-exclusion-of-up-to-10200-of-unemploym...

You *might* need to amend your state return for unemployment that was taxed by your state.

https://www.kiplinger.com/taxes/state-tax/602307/taxes-on-unemployment-benefits-a-state-by-state-gui...

https://www.kiplinger.com/taxes/602542/irs-sending-more-unemployment-tax-refund-checks-in-june?rid=E...

https://www.cnet.com/personal-finance/taxes/more-unemployment-tax-refunds-are-arriving-but-when-here...

[loisemory]

How can I find when and if I will be getting a refund

[Critter-3]

 TurboTax cannot track or predict when it will be sent.  The IRS has not provided a way for you to track it, so all you can do is wait for the refund to arrive.

[SoccerRefMon]

We filed our returns before the American Rescue Act was signed. We owed taxes. Once the Act was signed, TurboTax indicated that we should get a refund because of the $10,200 unemployment tax exemption allowed in the Act.

We have not received the refund, and now the IRS is billing us for the taxes owed on the original filing. Should we file an amended return, reflecting the credits allowed in the Act?

[maestrowork]

Don't -- you're just going to complicate things. The IRS already has a backlog of over 35 million returns. Filing an amendment won't speed things up. The IRS already knows they need to adjust your returns and issue a refund, but they're behind schedule.  You need to be patience or else you're just complicating the matter.

You should have paid "what you owe" when you filed your returns regardless. Otherwise, their system will continue to assess interest/penalties. It was a requirement that you're supposed to pay what you owe at tax filing. You may be able to negotiate this by calling the IRS directly.  But like I said, they are currently having a huge backlog and not even resources, so I am not sure if you can even get through (many people are saying the IRS is not even answering their phones now).

I'd suggest just wait and see. Or pay your balance, make a note. And then when the IRS adjusts and refunds, call them directly to address any discrepancies. Basically, you need a human to help you.

Good luck.

[maestrowork]

The IRS has a tool online to check your refund status. Unfortunately it's rudimentary. If it's been processed it would suggest a time frame. But if it's still waiting in queue for processing, you won't get any updates.   Turbo Tax is a software tool, so it has nothing to do with IRS processing. Currently the IRS has a backlog of over 35 million tax returns, and they are short-handed. So you need to be patient.   My refunds were issued just two days ago, and I filed in March.  So it will take some time.