Unemployment Compensation

Unemployment compensation includes benefits that a state or District of Columbia paid from the Federal Unemployment Trust Fund to unemployed individuals. This income is:

• Reported to the recipient on Form 1099-G
• Entirely taxable

The amount in box 1 of Form 1099-G should be entered on:

• Line 3 of Form 1040EZ, or
• Line 13 of Form 1040A, or
• Line 19 of Form 1040