With a possible change in 2020 tax liability for unemplyment income will turbotax update to reflect this?

[DoninGA]

Nothing has passed Congress so there has been no changes to the tax code.

The legislation only would affect a federal tax return.  The various states that tax unemployment compensation would have to make changes to their own tax codes and only if they so desire.

TurboTax nor any other tax preparation software company can do anything until After the IRS has written the rules and regulations after passage of legislation which changes the tax code.

[kmpiscitelli]

Okay 03-12-21 It's law now.  What is the plan?  Will there be an update on Turbo Tax? I'm hoping it reduces what I owe.  I already had tax taken out but still owe on Federal

[DoninGA]

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@kmpiscitelli wrote:

Okay 03-12-21 It's law now.  What is the plan?  Will there be an update on Turbo Tax? I'm hoping it reduces what I owe.  I already had tax taken out but still owe on Federal

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After the legislation has passed Congress and after the President has signed the legislation and after the IRS has written the rules, regulations and procedures.  And after the IRS has changed any forms or schedules to accept the tax code changes.  And after the IRS has approved the changes in the TurboTax program that apply to the tax code changes, then it will be available for the users of the tax preparation software.

This can take anywhere from several weeks to several months before it becomes available.

See this TurboTax support FAQ for information on the American Rescue Plan - https://ttlc.intuit.com/community/tax-topics/help/how-will-the-stimulus-package-impact-me/00/1393859

[chrisacode]

Update just landed for me at 1:07am CDT for Mac desktop Home & Business, updated to v2020.r23.046. Now incorporating the $10,200 unemployment exemption on Schedule 1, Form 1040. Enjoy!