TAMPA, Fla. — As if 2020 wasn’t hard enough on our pockets, now tax season is near, and collecting unemployment benefits will impact your filings.
If you received a government stimulus check, tax experts say the good news is you won’t be taxed on it; but if you received unemployment, you may have to pay.
The unemployment benefits that helped so many Americans stay afloat during the pandemic may hurt them this tax season.
Many people rely on a tax refund to help them catch up with bills, but Rob DiMarco, CPA and owner of Tax Artist, says if you received unemployment benefits in 2020 and did not request they withhold taxes, prepare for a lower return and even the possibility of having to pay money in.
"Instead of getting a couple of thousand dollars back, you might get a couple of hundred dollars back or you might end up owing. It’s something you should address now so there are no surprises come April 15th," said DiMarco.
DiMarco says the good thing this year is the $300 charitable contribution deduction where you don’t have to itemize. He says that means if you donated to a charity, you could save you some money on your taxes.
DiMarco says if you need help with your taxes go to taxartist.com or call 727-787-5290