Accountant advice on tax refund question - Unemployment insurance taxed how?

Question

I have $10,500.00 in interest I pay on my mortgage every year. This year I was paid unemployment for 8 months, paying no taxes on this

& worked for 2 months with regular taxes taken out.

Should I expect a large or small refund?

Unemployment income was apx. $15,000.00 total

Work income will total about $3,500.00 from a regular job.
Filing details, Single, no children, claiming 1 (myself) reside in Orange County, CA.

Answer 1

im not for certain but i thoguht unemployment is taxed just liek a regular paycheck. call the irs or visit www.irs.gov fpr more info

Answer 2

You'll probably get a couple hundred dollars back for federal. You don't say how much was withheld for federal income taxes on your regular job, so I'll assume for the calculation it was around $500. I'm also assuming your itemized deductions total around $12,000 - that's a guess, they could be more or less than that. Unemployment comp is taxed as regular income at the federal level - most states don't tax it. On a total income of 18,500 you'll owe a total of a little over $300 if my assumptions are close on your itemized deductions. Whatever you paid in over that you'll get refunded to you. The most you'd get back, if your itemized deductions are a lot higher than my estimate, is whatever you had withheld for federal income tax.

Something is a little strange though - unemployment comp normally only goes for 6 months, so I'm not sure how you got it for 8.

Answer 3

particular, you will get your refund in January, once you do your tax return. You *do* understand that unemployment is taxable earnings, appropriate? no longer all of that withholding would be coming decrease back to you. you are able to owe all of it to the IRS.

Answer 4

Your unemployment will be subject to federal income tax but if it and your wages only total $18,500 and you have $10,500 in interest you will probably break even.