What about unemployment or retirement income?

What about unemployment income?

If you received unemployment benefits, you might have questions about how much of that income is taxable and how to report it. The IRS considers unemployment benefits to be taxable income, which you must report on your federal tax return. Some states also tax unemployment benefits.

You should receive a Form 1099-G from your state unemployment agency listing the total amount of money you received during the tax year.

What about retirement income?

Any money you received from retirement funds during the tax year, including early withdrawals, needs to be reported as income on your tax return. This includes withdrawals from pensions, annuities, 401(k)s, and IRAs. The fund or financial institution will send you a Form 1099-R, which we'll use to report your retirement income. Tax rates and any penalties for early withdrawal may vary depending on the fund. If you're over 65, you may qualify for certain tax credits.will vary depending on the fund. And if you’re over 65, you may qualify for certain tax credits.