NYS Efile rejection due to 1099G withholding

[sscpany]

We have a client who has income last year from NYS unemployment and from social security. There is form 1099G for unemployment on which there is NYS tax withholding. The file was electronically filed and rejected with error code R0129. As per this error code NYS withholding amount was not matching as per wage and tax statement. Since client has no taxable income in NYS other than unemployment, the tax withholding only on unemployment form 1099G the software is not considering. The support has no help since as per them there is no income and tax withholding is more than the income as they think there can be income in NYS only from wage. Support team recommend to paper file the return. It was told there is taxable income from unemployment and there is issue with the software and it should recognize withholding from form 1099G.