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Tax Relief for 2020 Unemployment Benefits

This act amends tax laws, allowing individuals who received unemployment benefits in 2020 to exempt a portion of those benefits from income tax. This means citizens who received financial support due to unemployment last year can keep more of their money, as they won't have to pay tax on the first $10,200 of their benefits.
Key points
Exemption from income tax for up to $10,200 of unemployment compensation received in 2020.
The change applies to individuals who received unemployment benefits during the 2020 tax year.
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Additional Information
Coronavirus Unemployment Benefits Tax Relief Act
Print number: S 175
Sponsor: Sen. Durbin, Richard J. [D-IL]
Process start date: 2021-02-02