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Why did I lose money on my return after I added my unemployment form 1099-g.

I got unemployment payments for a couple months this year but I had my taxes taken out of them so I don’t understand why my tax return estimate dropped after I added the form.
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4 Replies

Why did I lose money on my return after I added my unemployment form 1099-g.

The tax withheld from your unemployment was an estimate, just like the tax that is withheld from your paychecks.   When everything is entered the software calculates whether you had enough tax withheld to give you a refund or if you owe tax due.  Additional income also affects certain credits you may be getting like EIC or child tax credit, so you have to wait until everything has been entered to see how it turns out.

**Disclaimer: Every effort has been made to offer the most correct information possible. The poster disclaims any legal responsibility for the accuracy of the information that is contained in this post.**

Why did I lose money on my return after I added my unemployment form 1099-g.

When I look at the explanation of my refund amount it shows me how much it says I’ve paid into taxes, it is not counting the over 800$ I had withheld from my unemployment.

Why did I lose money on my return after I added my unemployment form 1099-g.

Why do you think it is not counting the amount withheld from unemployment?  Did you enter your 1099G correctly -----when you entered it did you go to the screen that let you enter tax withheld?

**Disclaimer: Every effort has been made to offer the most correct information possible. The poster disclaims any legal responsibility for the accuracy of the information that is contained in this post.**

Why did I lose money on my return after I added my unemployment form 1099-g.

@alexisjaxon Look at your Form 1040.   Do you have an amount on line  25a----tax withheld from W-2?  How about line 25c---tax withheld from other forms?  Anything on that line?

**Disclaimer: Every effort has been made to offer the most correct information possible. The poster disclaims any legal responsibility for the accuracy of the information that is contained in this post.**

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