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IRS has options for gig economy workers and those with unemployment benefits


IR-2021-97, April 29, 2021
WASHINGTON The Internal Revenue Service reminds workers in the gig economy and those who claimed unemployment compensation in 2020 of their options and where to find information on meeting their tax obligations.
Gig economy
The gig economy refers to income earned providing on-demand work performing services or selling goods, including driving a car for booked rides or deliveries, renting out property, selling goods online or freelance work. Often, customers and service providers or sellers are brought together through a digital platform on an app or website. Visit the Gig Economy Tax Center on IRS.gov to learn more about withholding and estimated tax requirements for these types of earned income and paid services. ....

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IRS offers guidance to taxpayers on identity theft involving unemployment benefits


IRS offers guidance to taxpayers on identity theft involving unemployment benefits
Written by Peter Carey
The Internal Revenue Service today urged taxpayers who receive Forms 1099-G for unemployment benefits they did not actually get because of identity theft to contact their appropriate state agency for a corrected form.
States issue Forms 1099-G to the taxpayer and to the IRS to report what taxable income, such as refunds or unemployment benefits, were issued by state agencies.
During 2020, millions of taxpayers were impacted by the COVID-19 pandemic through job loss or reduced work hours. Some taxpayers who faced unemployment or reduced work hours applied for and received unemployment compensation from their state. Under federal law, unemployment benefits are taxable income. ....

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