What is the IRS Form 1099-G for unemployment benefits?
If you received unemployment benefits in 2022, DES will issue you an IRS Form 1099-G for tax purposes. All claimants will be able to access their 1099-G through their DES online account by Jan. 31. If you chose mail as your preferred contact method, your 1099-G will be postmarked by Jan. 31 with an expected delivery date in early February.
These statements report the total amount of benefits paid to a claimant in the previous calendar year for tax purposes. The amount reported is based upon the actual payment dates, not the week covered by the payment or the date the claimant requested the payment. The amount on the 1099-G may include the total of benefits from more than one claim.
Are unemployment benefits taxable?
Yes. All claimants are notified by DES when filing a claim that unemployment benefits are taxable income and must be reported on federal and state tax returns. Claimants may elect to have state and/or federal taxes withheld from their benefit payments.
Will I have to complete identity verification to access my form online?
If you have not already completed identity verification and you are only accessing your 2021 1099-G, you will not be required to complete ID.me verification. If you need to take additional actions with your claim, you may be required to complete ID.me verification. Identity verification is one of the fraud prevention tools implemented by DES to stop bad actors from using stolen identities to claim unemployment benefits.
I received a 1099-G from DES but did not file for unemployment. What should I do?
It is possible that you are a victim of identity theft and someone has filed a claim for unemployment in your name. This type of fraud occurs when someone steals another person’s identifying information through outside data breaches, email phishing schemes, impersonation scams and other methods, and uses it to apply for unemployment.
If you suspect unemployment benefits fraud, you should report it to DES at 919-701-3543 or through the online fraud reporting form. DES must investigate and confirm fraud to correct the 1099-G for the individual and the IRS.
Learn more about steps you can take to report and recover from identity theft at https://des.nc.gov/fraud.
I received a 1099-G, but it shows a different amount than what I received. What should I do?
The IRS requires that we report all benefits paid to you in the calendar year. If you disagree with the amount shown on your 1099-G, you may contact the DES Customer Call Center at 888-737-0259.
What is reported on my 1099-G?
DES reports the total amount of unemployment benefits paid to you in the previous calendar year on your 1099-G. This amount is based upon the actual payment dates, not the period covered by the payment or the date you requested the payment. This amount may include the total of benefits from more than one claim.
If I repaid an overpayment, will it be reflected on my 1099-G?
No. DES reports the total amount of benefits paid to you in the previous calendar year on your 1099-G, regardless of whether you repaid any overpayment. If you repaid part or all of an overpayment during the previous calendar year, you may be able to deduct the repaid amounts on your income tax return. The repaid amount should be reported on the tax return submitted for the year the repayment was made.
If I did not receive my 1099-G, how can I get a copy?
You may download a copy of your current IRS Form 1099-G through your online account at des.nc.gov at no charge. 1099-Gs for years from 2018 forward are available through your online account.
Written requests for a hard copy of your 1099-G form from 2020, 2021, 2022 and 2023 may be:
- Faxed to 919-733-1370
- Emailed to email@example.com
- Or mailed to:
Division of Employment Security
Attn: Intrastate Claims Unit
P.O. Box 25903
Raleigh, NC 27611-5903
The written request must include the individual’s complete name, complete address, phone number, last four digits of SSN or Claimant ID, and date of birth. Once received, requests are processed within 48 hours.
There is no cost for years 2020, 2021, 2022 and 2023 (current).
Requests for 1099-Gs for years before 2018 may be submitted to the Legal Services Section using the Request for Release of Information Form. The fee for years prior to 2019 is $15.00.
I was unemployed in 2020, but payment of my unemployment compensation was delayed until 2021. Do I qualify for the unemployment compensation exclusion? (added March 23, 2022)
No, the American Rescue Plan provides unemployment compensation exclusion relief only for unemployment compensation received in 2020. The exclusion does not apply to unemployment compensation that was received in 2021.