If you received money from a government agency, then you will be issued a document called Form 1099-G, Certain Government Payments. Similar to a W2, this form will summarize gross earnings, any federal, state, or local taxes that have been withheld, as well as other applicable information.
Who Needs a 1099-G?
Generally speaking, most people will only need a 1099-G if they received either of the following:
- State tax refund. If you qualified for a refund on your state income tax return last year, then this amount will be captured on Form 1099-G. However, you don't necessarily have to report this amount on your federal tax return or pay additional federal taxes. It's only included if you took a federal deduction on a prior return that reduced your federal taxes.
- Unemployment compensation. If you filed for unemployment insurance, those benefits will appear on form 1099-G. Note that if you didn't elect to have taxes withheld at the time of application, then these unemployment benefits will count as taxable income and must be reported.
Form 1099-G may also be sent out if you received any:
- Reemployment trade adjustment assistance (RTAA) payments
- Taxable grants
- Agricultural payments
- Payments on a Commodity Credit Corporation (CCC) loan
Where Do I Get Form 1099-G?
The government agency that issued the payment will be responsible for mailing you a physical copy of form 1099-G. In most cases, this will be the state treasury or unemployment insurance agency.
Depending on your state, you may also be able to log in to their government website and download an electronic copy of this form.