The IRS is reviewing implementation plans for the newly enacted American Rescue Plan Act of 2021 which allow the first $10,200 of 2020 unemployment benefits nontaxable. Irs is already provide guideline on how to handle the $10200 unemployment waiver-or income exclusion. Fox Tax Service can help you waive those unemployment payment.
As of March 14th there is no guidance set in place on how to handle unemployment compensation-form 1099G for those already filed. It may take weeks before the IRS able to provide taxpayers with additional guidance on those unemployment compensation 1099G that you already filed. But one thing for sure you will get a nice extra refund you didn’t know you even qualify for. It’s a good chunk of money.
As of now, no one knows which direction the IRS will go. They are making up the rule as the tax laws go into effect. Although there are only two choices they will have to make. For those who already file their taxes, one of the two things will happen. A: The IRS will have to recalculated automatically and send you a check-It’s not happened anytime soon-you are looking at months. B: Wait for a little until the IRS provides the instruction on how to calculate and file an amendment to the tax return.
If the IRS required you to file an amendment to get your money back especially for those who do it themselves online. Most if not all of you will have to find a tax professional to help you file a paper amendment. Amendment can only be done by paper and can be tricky.
If you have already filed your tax return, please wait for further instruction. IRS is not recommend anyone to file the amendment before the new guidelines. Keep in mind you have up to 3 years to file the amendment.
If you need me to help you with your amendment or tax preparation. Please call or text me 515-988-0716
Fox Tax Service, Des Moines, IA 50310. Open every day 10am-6pm.
