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ESD overpayment tax refund - what documentation will I receive for 2025 taxes?

I had to repay a $19,250 overpayment to ESD last April after they determined I wasn't eligible for some benefits from the previous year. I've already filed and paid my income taxes for the year I received those benefits, so I should be able to get a tax refund for that amount on this year's taxes. Has anyone gone through this process before? Will ESD automatically send me some kind of form showing I repaid the overpayment, or do I need to request documentation? I've checked my online account but don't see anything tax-related there. Getting a bit worried since I'll need this for my tax filing in a few months.

Andre Lefebvre

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You need to request a Form 1099-G correction from ESD. They don't automatically send documentation for repayments. Call the tax line at 360-486-2199 and specifically ask for an amended 1099-G that shows your repayment. The regular ESD agents often don't know about this process, so make sure you're talking to someone in the tax department. Keep in mind you'll claim this on Schedule 1 of your 1040 as "Other Income" with a negative amount. Save all your repayment receipts too - you'll need those if you get audited.

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Carmen Ruiz

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Thank you! I'll call that number tomorrow. Do you know if there's a deadline for requesting the amended 1099-G? I want to make sure I don't miss any important dates.

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Zoe Alexopoulos

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i had simlar issue but smaller amount (like $8k) last year. ESD didnt send anything! had to call like 20 times befor i got thru to anyone. so frustrating. eventually got a letter but had to upload it to turbotax manually. save ur bank statements showing the repayment!!!!

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Carmen Ruiz

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Ugh, that sounds like a nightmare. Did you have to mail anything in or was it all handled over the phone eventually?

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Jamal Anderson

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I went through this exact situation in 2024! ESD is TERRIBLE about providing tax documents for repayments. Here's what I had to do: 1. Call the main ESD number and request to be transferred to the tax department 2. Got hung up on FOUR TIMES 3. Finally had to drive to a WorkSource office in person to get someone to help me 4. They gave me a direct number to the tax document department 5. Still took 6 weeks to get my amended 1099-G The whole system is broken and nobody seems to care that we're stuck in the middle trying to do the right thing with our taxes!

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Mei Wong

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This is exactly why I hate dealing with ESD. They take our money but can't be bothered to help us with the paperwork afterward. Classic government efficiency! 🙄

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QuantumQuasar

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I had this exact situation last year. You need to specifically request an "Amended 1099-G" and make sure you have documentation of your repayment (bank statements, receipts, etc.). When you file your taxes, you'll report this as a recovery of a previously reported income under the "claim of right" provision. For a repayment of that size, you actually have two options: 1. Take an itemized deduction on Schedule A (subject to the 2% AGI limit) 2. Take a tax credit calculated under Section 1341 (often more beneficial for larger repayments) I'd recommend consulting with a tax professional familiar with unemployment repayments - it saved me about $1,200 by using the right method. Good luck!

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Carmen Ruiz

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Thank you for this detailed information! I had no idea there were two different options for handling this on my taxes. I'll definitely look into consulting with a tax professional. Do you know if an H&R Block type place would be knowledgeable about this, or would I need a more specialized tax preparer?

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Liam McGuire

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I tried for 3 weeks to reach ESD about tax documents last year. Kept getting disconnected or stuck on hold for hours. Finally used Claimyr (claimyr.com) and got through to an actual ESD agent in about 20 minutes. They have a video showing how it works: https://youtu.be/7DieNd3C7zQ?si=26TzE_zGms-DODN3. The agent was able to submit my request for an amended tax form right away. Saved me so much frustration!

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Carmen Ruiz

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Thanks for the tip! I've never heard of this service before. Did you find it pretty easy to use? I'm at my wit's end trying to get through to anyone at ESD.

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Mei Wong

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I used them too when my claim was stuck in adjudication. Definitely worth it when you've already wasted hours trying to call yourself.

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Amara Eze

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Has anyone actually received their tax refund after going through this process? I'm in a similar situation (repaid about $13k last summer) but I'm worried about timing. I've heard the IRS might flag returns with large refund claims related to ESD overpayments for manual review, which could delay everything by months. I'm not looking forward to waiting until late 2025 to get my money back... 😫

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Andre Lefebvre

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My accountant said to file as early as possible if you're claiming a refund for ESD repayments. These returns do sometimes get flagged for review, but if you have all your documentation in order (amended 1099-G, proof of repayment, etc.), it's usually just a delay of 4-6 weeks rather than months. The key is having that amended 1099-G from ESD to match what you're claiming.

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Jamal Anderson

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One more thing I forgot to mention - make sure you check the status of your amended 1099-G request regularly! Mine somehow got "lost in the system" and I had to restart the whole process again in March, which nearly made me miss the tax filing deadline. The ESD website is absolutely useless for tracking these requests - you have to keep calling them.

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Carmen Ruiz

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That's really good to know. Is there a specific way to check on the status, or do I just have to keep calling that tax line number?

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Zoe Alexopoulos

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dose anyone know if we can deduct the interest they made us pay on the overpayment too? i had to pay like $520 interest on top of repaying benefits and i think thats so unfair when it was their mistake in the first place!!!

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QuantumQuasar

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Unfortunately, interest paid on repayments to government agencies generally isn't deductible on personal tax returns. I know it feels unfair, especially when the overpayment wasn't your fault, but that's the current tax law. You can only claim the base repayment amount.

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