What happens if you didn’t withhold taxes from your unemployment benefits?
Ogg says that the answer is pretty tricky since the situation varies from individual to individual. “There are way too many unknown things to predict, but it will most likely be ugly for many people,” he added. If you want to clear things up, maybe you should ask yourself the following questions:
- How many additional dollars from unemployment benefits did I receive?
- How much income do I have annually?
- What’s my filing status?
- How much withholding did I have from income that comes from completely other sources?
From all of that, plus the estimated tax payments, you can come up with a pretty clear answer regarding the tax liability.
