Internal Revenue Service United States Department of the Treasury
Level Basic Advanced Military International

Income — Unemployment Compensation

Unemployment Compensation Defined

Unemployment Compensation

Unemployment compensation generally includes any amount received under an unemployment compensation law of the United States or of a state in the U.S. It is not considered earned income for the purposes of calculating EITC, but in most cases, unemployment compensation is taxable.

Unemployment compensation is reported to the recipient on Form 1099-G.

Form 1040 with $12,560 entered for unemployment compensation.
Form 1099-G

Form 1099-G