There are nearly 20 million people living in New York state and nearly 1/4 of us received unemployment and enhanced pandemic unemployment benefits since this whole thing started last year. So that is nearly 5 million people collecting a smaller amount of money than their job paid and they have to pay tax on this money. Or do they?
Do you qualify for tax free unemployment benefits? The American Rescue Plan Act signed into law by President Biden is designed, in part, to be beneficial to you if you spent some time on unemployment in 2020. According to Syracuse.com the plan makes a certain amount of unemployment benefits tax-free.
President Biden signed the $1.9 trillion bill earlier than planned and one of the items many Americans want to know about is the $1,400 stimulus payment. According to White House Press Secretary Jen Psaki, if you are one of the eligible Americans, look for a direct deposit as early as this weekend.
If you are one of the 750,000 or so unemployed New Yorkers you have already endured an awful lot of hardship. What would you do if you had to pay back some of your benefits? In some cases, the state has overpaid benefits -- and they’re now asking for the money back.