The South Carolina Dept. of Labor is urging everyone who collected unemployment benefits in 2006 to double check his or her 1099 form. Any recipient of South Carolina unemployment during 2006 should have received a 1099 showing all benefits paid, before February 15. If the form did not arrive, please contact the South Carolina Department of Labor.
South Carolina unemployment benefits must be reported on your taxes.
There are a number of people who had taxes deducted from their unemployment insurance as they were receiving the benefit. Many people feel that it is easier that way. Depending on immediate circumstances, however, others may feel that they need the cash right away, even thought they will end up paying the taxes on the income eventually. Nonetheless, the 1099 is required for federal income tax filing and many state taxes as well. In fact, this same form is used to report money paid to self-employed individuals.
One official of the South Carolina Department of Labor stated that in 2006, South Carolina paid over $111 million in unemployment insurance. With all that money going out, it’s no wonder that the government makes sure that they get their cut. It is a truly helpful program. With the various markets fluctuating, businesses cut down on help more and more often. Jobs that have been secure for years are often thrown over to the wayside. Corporations take over other corporations, and many times workers are out of a job.
These things happen to the best of us. It’s good that the government understands and can try to ease the struggle with a little help. If you were laid of due to no fault of your own and actively seeking work, you are most likely entitled to unemployment benefits. There are other criteria, of course. Anyone who feels that they might be eligible for unemployment insurance should apply.