Does unemployment count as income for NYS Department of Labor tax purposes and other applications?
I'm getting ready to do my taxes and apply for some assistance programs, but I'm confused about whether my unemployment benefits from NYS Department of Labor count as income. I received about $8,200 in UI benefits last year after losing my retail job. Some websites say it's taxable income, others make it sound like it's not really 'income' for certain things. Does anyone know if unemployment benefits count as income for tax filing, food stamps, housing applications, etc.? I want to make sure I'm reporting everything correctly.
10 comments


Giovanni Moretti
Yes, unemployment benefits from NYS Department of Labor are considered taxable income by the IRS. You should have received a 1099-G form showing the total amount you received. You'll need to report this on your federal tax return. For state programs like SNAP or housing assistance, unemployment income usually counts too, but each program has different rules.
0 coins
AstroExplorer
•Thanks! I did get the 1099-G form but wasn't sure if I had to include it. Good to know about the other programs too.
0 coins
Fatima Al-Farsi
unemployment is definitely income for taxes but when i applied for food stamps they told me it counts there too. basically anywhere they ask about income you gotta include your UI benefits. i learned this the hard way when i didnt report it initially and had to go back and fix everything
0 coins
Dylan Cooper
•That must have been stressful having to go back and correct everything. Did they make you pay anything back or was it just paperwork?
0 coins
Sofia Perez
If you're having trouble getting through to NYS Department of Labor to verify your benefit amounts or get copies of forms, I had good luck with Claimyr (claimyr.com). They helped me get connected to an actual agent when I needed my 1099-G reissued. There's a video demo at https://youtu.be/qyftW-mnTNI that shows how it works. Way easier than trying to call and getting hung up on repeatedly.
0 coins
Dmitry Smirnov
•How much does that service cost? I've been trying to reach someone at NYS Department of Labor for weeks about my forms.
0 coins
Sofia Perez
•I don't remember the exact cost but it was worth it to actually talk to someone instead of wasting hours on hold. Check their website for current pricing.
0 coins
ElectricDreamer
This whole system is so confusing! Why can't they just make it clear whether unemployment is income or not? I'm worried I'm going to mess up my taxes because of this. Are there penalties if you don't report it correctly?
0 coins
Giovanni Moretti
•The IRS can assess penalties and interest if you don't report unemployment income, but if it's an honest mistake they're usually reasonable about working with you to fix it. Just make sure you include it this year.
0 coins
Ava Johnson
yeah its income everywhere basically. taxes, assistance applications, everything. i had unemployment for 6 months and had to report it on literally every form i filled out
0 coins