munevara
Level 1
06-12-2021
11:50 PM
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I just updated my software and noticed that the calculation for the excluded amount of unemployment income had changed. Upon looking into it, I noticed that it was because the community property boxes had been automatically checked on the 1099-G worksheet. This caused the unemployment income to be split in half which allowed the full amount to be excluded even though one spouse collected over $10,200. Unchecking those boxes corrected this problem.
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Level 15
06-12-2021
11:58 PM
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IRS updated the rules. UI income gets split between both spouses, and each can deduct 10200 in a Community Property State
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munevara
Level 1
06-13-2021
11:15 PM
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Hopefully the IRS will automatically make this adjustment for returns that have already been filed.