This will make a huge difference for me just wondering if it will reflect quickly on turbo tax side or what.
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.
tax break on UI payments is a 2021 law. that goes on your 2021 tax return if you collect UI in 2021.
Nope. The new law is an exemption against 2020 Unemployment received and applies to 2020 taxes
Not true. The $10.200 UI tax waiver is for 2020 tax year not 2021.
The congress already wrote all the rules, regulations, and procedures for the past weeks; that is why it took a while before it went over to the Senate. It has passed the Senate...and everyone knew yesterday when you wrote your reply, that of course the President would sign it. (It's his bill!) He has signed it. Turbo tax should have been starting to update their program this week and at least notify us that it that it would be done within the next week. Several months is absolutely a no go for me and I'll use another service thank you.
Why do people answer on this page when they don't know. It's absolutely targeted for year 2020 (last year) it covers the boost that was given to the unemployed.
does this mean everyone that had uc benefits will have to complete a 1040x
Now that the bill is approved, the IRS has to determine how to support the change. Stay tuned.
Yeah, it should be that way, normally, but the leg work for this should of been done. It should just need applied to tax programs. This was known about for several months. With democratic majority, also, made it inevitable. So the planning and details should of been all worked out.
No, that is not the case. It's for 2020 tax year for unemployment collected in 2020 It probably will be expanded to 2021 for those who didn't get to file a amended return
It applies to your 2020 taxes. The height of the pandemic and unemployment claims were in 2020.
@teresamorgan0301969 wrote:
Hello, @DoninGA
Will this be available before April 15?
Thank you,
Teresa M.
I would expect the software to be updated by the end of March or early April at the latest.
Incorrect
First $10,200 of UI benefits received in 2020 is covered in the most recent legislation
From the content and tone of Intuit's responses, they don't seem to know (or care).
@joepsca there isn't a single response in this thread from anyone at Intuit. This is a user-to-user forum although at certain times of the year Intuit employees do help give some answers.
Not sure what on earth would make you think they don't care but it has literally only been a few days since it was signed into law and a few HOURS since the first release of any kind of guidance from the IRS - and that is in regards to how to treat the income in only one of several scenarios that may come up.
It takes time for 1- the IRS to communicate how to handle the information and then 2- for the companies to make program changes. this stuff can't happen in a millisecond. This is the real world, not whatever fantasy land is in your mind about how "easy" this is.
Until the companies are clear on how the IRS wants to handle it, there is no way for them to tell you "when"
Simmer down
@holl22 wrote:
Following for updates.
See this TurboTax support FAQ for information for the unemployment compensation exclusion - https://ttlc.intuit.com/community/tax-topics/help/how-do-i-claim-the-new-unemployment-benefits-in-tu...
Also see this IRS statement - https://www.irs.gov/newsroom/irs-statement-american-rescue-plan-act-of-2021