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Those who collected over 10200 in unemployment income in 2020 will still owe taxes on the amount over that threshold meaning some could still owe money to. Because the change occurred after some people filed their taxes the IRS will take steps in the spring and summer to make the appropriate change to their return which may result in a refund. America S Jobless Owe Thousands Of Dollars In Taxes On Their Unemployment Benefits The Washington Post Without this new tax exemption many people who claimed unemployment benefits in 2020 could have faced an unwelcome tax bill. Do i claim unemployment on my taxes . Your benefits may even raise you into a higher income tax bracket though you shouldnt worry too much about getting into a higher tax bracket. If you received unemployment benefits in 2020 it counts as part of your income and thus you will owe income taxes on that amount. You can claim your unemployment-benefits tax waiver in your 2020 income tax return. Unemployment benefi