Here s how to make sure your Delaware unemployment benefits are exempt from state taxes Sarah Gamard, Delaware News Journal
Headlines February 2, 2021
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Delaware workers who filed for unemployment in 2020 won t have to pay state taxes on those benefits, thanks to an exemption that lawmakers made.
It comes after more than 160,000 people filed for unemployment last year as a result of businesses shutting down temporarily or permanently due to Gov. John Carney s state of emergency orders to slow the spread of COVID-19.
That number has continued to go up in 2021 as restrictions and business capacity limits, including for restaurants, persist.
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Updated Feb 03, 2021;
Posted Feb 03, 2021
Elizabeth Matsutani, 60, pictured at her job as an administrative assistant in Eatontown. She was laid off from her job at the start of the coronavirus pandemic.
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On Jan. 9, Elizabeth Matsutani said she received her last unemployment check for $414, exhausting the benefits she’s relied on since April after she lost her job as an administrative assistant due to the coronavirus pandemic.
Since then, the 60-year-old has watched her bills pile up $1,100 in rent for her Lake Como studio apartment, $173 in cable and internet, $136 for car insurance, and money for her cat’s insulin for diabetes.
Jobless Americans missed $17.6 billion in benefits last month because of relief bill delays By: CNN
By Tami Luhby, CNN (CNN) Jobless Americans missed out on billions of dollars of benefits last month because then-President Donald Trump and Congress did not finalize a coronavirus relief bill until the end of December.
And many may face another break in payments next month if lawmakers again wait until the last minute to approve yet another extension of key federal pandemic unemployment programs, which are set to start expiring in mid-March.
The unemployed were left waiting for $17.6 billion in benefits in January because it took states several weeks to update their computer systems with the new relief provisions, said Andrew Stettner, senior fellow at The Century Foundation, who co-authored an analysis of the fallout from the delay released Tuesday.
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The federal Earned Income Tax Credit (EITC) and its Illinois counterpart, the Illinois Earned Income Credit (EIC) could bring bigger returns for eligible filers in the state. But you ll need to claim it on your tax return in order to get it.
The Illinois Department of Revenue issued a reminder to residents that the credits are powerful tools that reward low- and moderate-income taxpayers for their hard work, yet thousands of eligible taxpayers fail to claim this refundable credit on their taxes.
“I encourage taxpayers to check their eligibility for the state EIC and federal EITC,” David Harris, director for the Illinois Department of Revenue, said in a statement. “The earned income credit puts thousands of dollars in the pockets of hard-working families every year. Even if an individual does not owe any tax, they may be eligible. That’s money that can be used for groceries, rent, utilities and other bills.”