Returns filed prior to the release of the federal update in TaxSlayer Pro will automatically re-calculate to exclude the non-taxable portion of unemployment income. ![]() UCE will print on the line next to line 8, identifying the amount as the unemployment compensation exclusion. ![]() The exclusion amount calculated on the worksheet in turn flows back to Schedule 1 (Form 1040) line 8. TaxSlayer Pro automatically calculates the exclusion based on the AGI entered in the return and generates the Unemployment Compensation Exclusion Worksheet. ARPA excluded up to 10,200 in 2020 unemployment compensation from taxable income calculations, up to 10,200 for each spouse if married filing joint. Refer to the IRS release: IRS: Unemployment Exclusion Update for Married Taxpayers Living in a Community Property State Since income in a community property state is considered to belong to both husband and wife, and is divided evenly between both taxpayers, the 2020 Unemployment Exclusion of $10,200 is applied for each taxpayer to all unemployment compensation received yielding a total exclusion of up to $20,400. The IRS has recently released a new unemployment compensation exclusion worksheet and updated instructions on how to file 2020 tax returns that contain unemployment income. The new provision applies to taxpayers with an AGI of less than $150,000. The American Rescue Plan Act of 2021 excludes from income the first $10,200 in unemployment compensation received in 2020 per taxpayer on their 2020 tax return. View the updated IRS article about the new exclusion of up to $10,200. Published ApComments ( 9) Alerts Photo: LezeL ( Shutterstock) If you claimed unemployment last year but filed your taxes before the new 10,200 unemployment tax break was. The IRS will issue additional guidance as soon as possible." Yes, Missouri will follow the American Rescue Plan Act of 2021 for the exclusion of a maximum of 10,200 (20,400 for married couples) of unemployment. "If you have already filed your 2020 Form 1040 or 1040-SR, you should not file an amended return at this time. The IRS has announced that returns filed previous to the unemployment compensation exclusion should NOT BE AMENDED: ![]() This article contains information current as of March 25, 2021.
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |