PA UC tax refund checks from pandemic tax exemption - anyone received theirs yet?

Yes, I finally received mine but it took FOREVER. The IRS was supposed to automatically recalculate and issue refunds, but many people fell through the cracks. You need to look at your transcript on the IRS website (not PA UC) to see if they ever processed the adjustment. If it's been this long and nothing has happened, you should file an amended return (Form 1040-X) for 2020 specifically claiming the unemployment compensation exclusion. The statute of limitations for claiming 2020 refunds expires April 15, 2024, so you may need to act quickly.

i got mine like 2 years ago lol. check ur bank account maybe it came as direct deposit if u did direct deposit for ur tax return that year

To clarify some misinformation in this thread: the unemployment tax exemption was a FEDERAL tax break implemented through the American Rescue Plan Act in March 2021. It made the first $10,200 of unemployment compensation received in 2020 tax-free for households with adjusted gross incomes under $150,000. This was an IRS issue, not a PA UC issue. Pennsylvania still fully taxed unemployment compensation at the state level. The IRS was supposed to automatically recalculate tax returns for people who filed before the law was enacted, but the process was imperfect. If you never received your refund, you should: 1. Create an account at IRS.gov and check your tax transcripts for 2020 2. Look for an adjustment or refund issued 3. If none appears, file an amended return (Form 1040-X) claiming the exclusion However, be aware that the deadline for claiming 2020 refunds is generally three years from the original filing deadline, so you may be approaching or past that deadline depending on when you filed.

I had the EXACT same issue! Kept trying to call UC about it and could NEVER get through. Finally got so frustrated I used this service called Claimyr (claimyr.com) that gets you through to an actual person at the UC office without waiting hours. They have a video showing how it works: https://youtu.be/CEPETxZdo9E?si=WL1ZzVZWG3KiHrg2 Anyway, when I finally got through, they told me it wasn't even their department - it's an IRS thing not PA UC! Wasted so much time... But at least I was able to get clarification and start working with the right agency.

To directly answer your question - yes, many people received these refunds automatically in summer/fall 2021. The IRS issued them in batches, with the simplest tax returns processed first and more complicated returns later. If you haven't received yours yet in 2025, you almost certainly need to take action. As mentioned above, there's typically a 3-year statute of limitations on claiming tax refunds, counting from the original filing deadline (which was extended to May 17, 2021 for 2020 tax returns). You may want to consult with a tax professional immediately to see if there are any exceptions that might allow you to still claim this refund. Bring your 2020 tax return and any documentation showing unemployment compensation you received that year.

THE WHOLE SYSTEM IS A JOKE!!! I never got my refund either and when I called the IRS they said "it's being processed" for YEARS. Then suddenly they said it was too late to claim it! HOW IS THAT FAIR?? They automatically take our money but we have to jump through burning hoops to get it back. And don't get me started on how PA UC handled everything during the pandemic - busy signals, website crashes, wrong information...

I remember this tax thing... my neighbor was telling me about it last summer when we were talking about my daughter's college financial aid forms... she got a check for like $1,200 from it but that was way back in 2021 I think? She said it just showed up in her mail one day without her doing anything special. Hope that helps!

To follow up on my earlier comment - I did eventually get my refund, but only after filing an amended return with help from a tax preparer. I had to provide my 1099-G from unemployment and specifically reference the American Rescue Plan Act exclusion. It took about 4 months to process after that. The annoying part was paying for tax help for something that should have been automatic!