Tax Year 2026
Do I have to file taxes if I was on unemployment?
It counts as income.
Unemployment benefits are taxable and count toward the filing thresholds just like wages do.
The Rule
Every dollar of unemployment compensation is taxable federal income, reported to you (and the IRS) on Form 1099-G. It counts toward the 2026 thresholds — $16,100 for a single filer under 65 — exactly like a paycheck.
The Trap
Withholding from benefits is optional (10%, via Form W-4V) and most people skip it. That’s how unemployment becomes a surprise tax bill in April.
Worked Part of the Year?
Add wages + benefits against your threshold. The withholding from your working months often exceeds what you owe — meaning a refund, but only if you file.