 Okay, line seven, unemployment compensation. You should receive a form 1099G showing in box one the total unemployment compensation paid to you in 2022. Report this amount on line seven. So usually it's a pretty straightforward type of thing. If you're a tax preparer, usually you deal more with the questions than with the difficulty of doing the data input, the data input usually being fairly straightforward. The questioning being, hey, look, I lost my job. I got unemployment compensation. Why should I have to include that in income? And it's like, well, because it's compensation, you have to include it in income generally and it is what it is usually. And then the other issue, of course, is gonna be if they got a significant amount of unemployment compensation, oftentimes they didn't withhold on it. So when you're a W-2 employee, you have to fill out that W-4 form. So the employer acts as the tax collector on your behalf, takes your money from you before it even touches your pocket and they give it to the IRS directly. The unemployment isn't required to do the withholding. You can request to do withholdings, but most people don't. So if there's a significant amount of unemployment, then it's possible that that's gonna cause a situation where they have underpaid their taxes due to not having any withholdings. However, also just note that if someone got fired in the middle of the year or laid off or whatever you wanna call it, in the middle of the year, then the withholdings that they had for that part of the year. So if they had withholdings for like three months of the year and then they got laid off after three months, the withholdings for that three months are gonna be very high compared to three months of income because remember, we have a progressive tax system. So it's not like they got taxed at 15%. Evenly, no matter how much they earned, if they were projected to earn $100,000, but they only worked for three months, then the withholdings that were withheld from them are gonna be based on $100,000 salary, the yearly salary, but they didn't earn a year's worth of salary. Therefore, they're gonna have over withheld and then they're gonna pick up the unemployment compensation, which they're probably not gonna withhold anything on. And so maybe those two things balance each other out, but that's, again, it's a messy situation to try to predict, but those are kind of some things to just keep in mind. So caution, so if the amounts reported in box one of forms 1099G is incorrect, report online seven only the actual amount of unemployment compensation paid to you in 2022. So in other words, if you got unemployment 1099G, but you didn't actually get unemployment, that's an indication that fraud might have taken place. You would like to, like any incorrect 1099, go back to the issuer of the 1099, correct the problem there if possible, telling them to give a new 1099 to the government, to the IRS, because otherwise the IRS is gonna have an unmatching 1099 from their side to your side, which you don't wanna do is report an incorrect amount on the return. But if your 1099 doesn't match the tax return, the IRS will almost certainly question it, because they're gonna say, hey, I got a 1099 based on this, and you're gonna say, yeah, but it was wrong. And then you're gonna have to go through that. How do you not go through that? You try to go through the issuer of the 1099, tell them to give the IRS an updated 1099 with the correct information on it. So if you made contributions to a government unemployment compensation program or the government paid family leave program, and you aren't itemizing deductions, reduce the amount you report online seven by those contributions. So if you are itemizing deductions, see instructions for form 1099G, if you received an overpayment of unemployment compensation in 2022, and you repaid any of it in 2022, subtract the amount repaid from the total amount you received, enter the result on line seven, also enter repaid and the amount you repaid on the dotted line next to line seven. So we've seen a similar situation in prior presentations in that if the amount on the report, the 1099 is incorrect, then if you report something less than the amount on the 1099, the IRS will probably have a problem and make a correction for you. If you enter an amount greater than the amount on the 1099, the IRS is probably not gonna have a problem with that because now that's gonna result in you paying more taxes. If it was legitimately amount less than the 1099, then you wanna show the math. You wanna say, hey, here's the amount from the 1099, here's me subtracting the amount because I repaid part of it because they overpaid me. And so then the IRS can still tie into the amount on the 1099, but see that you then reduce it and hopefully that'll be enough information to not have them trigger a recalculation or anything. So if in 2022, you've repaid more than $3,000 of unemployment compensation that you included in gross income in an earlier year, you can see repayments in publication 525 for details on how to report the payments. So now the issue is, well, now I had a repayment of unemployment compensation. If it was in the current year, then I could of course just reduce the repayment in the current year, but if it was applied to a prior year, what do you do? Do you amend the tax return or is there some way that you can adjust for it in the current year? If you fall into that situation, again, publication 525, find it on the IRS website, irs.gov, irs.gov, tip. If you received unemployment compensation in 2022, your state may issue an electronic form 1099G instead of being mailed to you. So in other words, if you don't get it in the mail, but you got unemployment compensation, it may be that you just didn't get it because they give it to you in some other formats, such as a digital format. So you wanna make sure that you're reporting your unemployment income and that you could find the form to help you to do so because if you don't report it, you can't just tell the IRS, well, I didn't get the 1099 because the IRS will certainly have gotten the 1099 and that won't fly, right? They're gonna correct your return almost certainly. So check your state's unemployment compensation website for more information.