You can use this page to learn more about tax information and the IRS Form 1099-G. If you get unemployment benefits from the N.C. Division of Employment Security (DES), you will need this information to do your taxes. Form 1099-G will either be found in your MyNCUIBenefits account or mailed to you by January 31 of each year. Click on the questions below to see the answers. If you can’t find what you are looking for, use the search icon at the top of this page.

Taxes and Unemployment Benefits

Are unemployment benefits taxable?

Yes, unemployment benefits are taxable income. You must report them on your state and federal tax returns.  

You can choose to have state and/or federal taxes withheld from your benefit payments. You can set this up when you file your claim, or through:

  • Your MyNCUIBenefits account
  • The NCUI 500 form which you can print and mail or fax to DES. You can mail/fax it to:
    • Division of Employment Security  
      Post Office Box 26504 
      Raleigh, NC 27611-6504  
      Fax: 919-341-5772  

DES reports your unemployment benefits to the government using IRS Form 1099-G. This form will be available through your MyNCUIBenefits account by January 31 of the next year. Your 1099-G shows the total amount of unemployment benefits you got and any taxes that were withheld. You will use this form when you file your tax return.

What is the IRS Form 1099-G for unemployment benefits?

If you got or are getting unemployment benefits, DES will provide you an IRS Form 1099-G for tax purposes.

  • You can find your 1099-G online in your MyNCUIBenefits account by January 31.
  • If you chose to get it by mail, your 1099-G will be postmarked by January 31 and should arrive in early February.

This form shows the total amount of unemployment benefits paid to you in the previous calendar year for tax purposes. The amount is based on when the payments were made, not the specific week or date you requested the payment. If you had more than one claim, the total amount from all claims will be listed on your 1099-G.

Issues With Your 1099-G

If I did not get my Form 1099-G, how can I get a copy?  

You may download a copy of your current IRS Form 1099-G through your MyNCUIBenefits account at no charge. 1099-Gs for years from 2018 forward are available through your account.

Written requests for a hard copy (at no cost) of your 1099-G Form from 2018 to present may be:

  • Faxed to 919-341-5773
  • Emailed to des.ui.claims.1099@commerce.nc.gov
  • Mailed to:
    • Division of Employment Security
      Attn: Intrastate Claims Unit
      P.O. Box 25903
      Raleigh, NC 27611-5903

The written request must include your:

  • Full legal name
  • Full address
  • Phone number
  • Last four digits of your Social Security number or Claimant ID
  • Date of birth
  • Year of the 1099-G being requested

Once received, requests are typically processed within 48 hours.

Requests for 1099-Gs for 2017 or earlier may be submitted to the Legal Services Section using the Request for Release of Information Form. The fee is $15.00.

Will I have to complete identity verification to access my 1099-G online?

No. If you are only looking for your most current 1099-G, you will not be required to complete identity verification. If you need to take other actions with your claim, you may have to complete identity verification.

I got a 1099-G from DES but did not file for unemployment. What should I do?

It is possible that you are a victim of identity theft, and someone has filed an unemployment claim in your name. This type of fraud happens when someone steals another person’s identifying information and uses it to apply for unemployment benefits.

If you think someone else has filed a claim using your information, you should report it to DES through the online fraud reporting form or by calling 919-701-3543. DES must investigate and confirm fraud to correct the 1099-G for the individual and the IRS. You can learn more about steps you can take to report and recover from identity theft here.

I got a 1099-G, but it shows a different amount than what I was paid. What should I do?

The IRS requires DES to report all benefits it paid to you in the previous calendar year. If you disagree with the amount shown on your Form 1099-G, call the UI Support Center at 888-737-0259.

If I repaid an overpayment, will it be reflected on my Form 1099-G?

No. DES reports the total amount of benefits paid to you in the previous calendar year on your Form 1099-G, whether or not you repaid any overpayment. If you repaid some or all of an overpayment during the last calendar year, you may be able to deduct the amount you repaid on your income tax return. You should report the repaid amount on the tax return you submit for the year that you made the repayment.
 

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