Unemployment

Unemployment compensation is taxable income on a 2021 tax return.  You enter the compensation reported on the Form 1099-G on your federal tax return. 

To enter unemployment compensation

• Click on Federal Taxes (Personal using Home and Business)
• Click on Wages and Income (Personal Income using Home and Business)
• Click on I'll choose what I work on (if shown)
• Under Unemployment
• On Unemployment and Paid Family Leave, click the start or update button

Or enter unemployment in the Search box located in the upper right of the program screen. Click on Jump to unemployment

Yes you have to report all your income.

You can  type  unemployment   into the search box at the top of your return and hit find.  It should give you a Jump To link to take you right to it.

Or Enter a 1099G for unemployment under

Federal on left

Wages & Income at top

 Unemployment - Click the Start or Update Button

Hi, 

Yes, you need to report your unemployment unless you do not have an income tax filing requirement.  This article from TurboTax talks about unemployment income.  Here is an article that talks about when you have to file federal income taxes.  You did not mention the amount of unemployment and what other income sources you may have, if any, so it's hard to be more specific.

Note that I am only addressing federal filing requirements here.  You didn't mention what state you reside and/or worked in, so there may well be other filing requirements as well.  If you use tax preparation software (e.g., TurboTax online), you can input the information and let the program figure it out from there.

Feel free to post more questions, if you have them!  Please cheer below if you found this response helpful!

Best,

Karen

There are a few states that have state income tax but do not tax unemployment benefits. Most states do tax unemployment. When you enter your 1099-G in your federal tax return, TurboTax will automatically handle it appropriately on your state tax return.