Any unemployment benefits you receive-including benefits paid under any regular state program, extended benefit program, Trade Readjustment Allowance benefits and Disaster Unemployment Assistance benefits - must be reported as part of your gross income on your federal and state income tax returns.
You can now submit your income tax withholding request online. Register for online services.
Instead of making estimated payments quarterly, you may request to have federal and/or state taxes withheld from your weekly benefit checks and forwarded by DUA to the IRS and the DOR automatically.
- The federal tax withheld would be 10 percent of your weekly benefit payment rate.
- The state tax withheld would be 5.3 percent.
If, at any time, you change your mind and would like to have tax withholding started or stopped on your claim, you will be allowed to change your election.
- However, changes will not apply to any benefit payments made prior to the effective date of the change.
- In addition, taxes already withheld from your claim cannot be refunded to you by DUA.
Note: If you are receiving benefits from one of the following three programs, you must manually complete the
DUA Income Tax Withholding Request
form to change your withholding election and mail it to the address on the form:
- Trade Readjustment Assistance (TRA)
- Disaster Unemployment Assistance (DUA)