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The original item was published from 9/18/2020 1:41:31 PM to 11/23/2020 3:15:18 PM.

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* City News Alerts *

Posted on: September 21, 2020

[ARCHIVED] Reminder that Unemployment Compensation is Taxable

Plan Ahead Signs

FOR IMMEDIATE RELEASE
September 21, 2020

Did your receive unemployment this year? Have the right tax withheld for 2020


CHARLOTTESVILLE, VA - A record number of Americans are applying for unemployment compensation due to the COVID-19 Outbreak. If you received unemployment benefits, as well as the additional $600 per week in coronavirus relief any time during the year, your tax return may be affected. The Commissioner of the Revenue wants to remind Charlottesville taxpayers to plan ahead to avoid a tax-time surprise from the IRS.

Your unemployment compensation must be reported on your 2020 IRS federal income tax return. Having tax withheld from your unemployment benefits now or making estimated payments will help you avoid owing taxes when you file your IRS tax return next year.

More information is available from the Internal Revenue Service website.

Media Contact
Todd Divers
Commissioner of the Revenue
City of Charlottesville
434-970-3160
divers@charlottesville.gov

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