IRS could automatically refund taxes for unemployment benefits. What to know
“President Joe Biden’s American Rescue plan added a $10,200 tax exemption for those who received unemployment benefits in 2020 to go along with more weeks of a $300 bonus payment, a third stimulus check and a boost to the child tax credit. There was some confusion over how the tax break might work, but the IRS says it will handle the exemption and send out refunds if needed.”