Are you ready for the latest good news and bad news regarding your federal income taxes?
Today, we have a little bit of both. But it depends on your level of income, whether or not you received unemployment benefits last year and whether or not youâve already filed your federal income tax return for 2020.
To put it in a nutshell: The $1.9 trillion stimulus bill President Joe Biden signed into law Thursday retroactively changed the rules regarding taxation of unemployment benefits. And that could mean youâll be getting a larger tax refund (or a lower tax bill), potentially to the tune of thousands.