Increased unemployment benefits will most likely impact your return.
The coronavirus pandemic has left many Americans with no job, and, as a normal thing to do, the vast majority of them signed up for their much-needed unemployment benefits. Due to the CARES Act, those who asked for unemployment benefits saw an additional $600 per week added to the standard unemployment wages.
When the second round of stimulus checks went out, it also included $300 in enhanced unemployment benefits. And yes, all those extra dollars were a relief for most of us, but, sadly, many recipients don’t have tax withheld from unemployment benefits.
To sum things up, according to Ogg, those extra dollars will have a big impact on your 2020 tax return.
