Unemployment Personal income types

How to report

Federal return

If you received unemployment, you should receive Form 1099-G, showing the amount you were paid.

Unemployment compensation is taxable for federal purposes. Visit IRS’s Unemployment Compensation for more information.

California return

Unemployment compensation is nontaxable for state purposes.

Make a subtraction adjustment on the unemployment compensation line, in column B, of California Adjustments – Residents (Schedule CA 540).

Visit Instructions for Schedule CA (540) for more information.