1099 Forms › What is Form 1099-G? Government Payments Reporting Explained
At a Glance
Understanding IRS Form 1099-G
Form 1099-G (Certain Government Payments) is used to report certain payments made by government agencies. The most common use is reporting unemployment compensation, but it also covers state and local income tax refunds, agricultural payments, and other government payments.
Who Must File Form 1099-G?
Form 1099-G must be filed by:
- State unemployment agencies reporting unemployment compensation
- State and local governments reporting income tax refunds
- Federal, state, and local agencies making agricultural payments
- Government agencies making taxable grants or subsidies
Form 1099-G Box Breakdown
| Box | Description |
|---|---|
| 1 | Unemployment compensation |
| 2 | State or local income tax refunds, credits, or offsets |
| 3 | Box 2 amount is for tax year |
| 4 | Federal income tax withheld |
| 5 | RTAA payments |
| 6 | Taxable grants |
| 7 | Agriculture payments |
| 8 | Checkbox if Box 2 is trade or business income |
| 9 | Market gain |
| 10a-b | State information |
| 11 | State income tax withheld |
Unemployment Compensation (Box 1)
Unemployment compensation is taxable and must be reported on the recipient's federal income tax return. This includes:
- State unemployment insurance benefits
- Federal unemployment compensation
- Extended unemployment benefits
- Pandemic Unemployment Assistance (PUA)
For more details, see our 1099-G Unemployment guide.
State Tax Refunds (Box 2)
State and local income tax refunds are reported in Box 2. These may be taxable if the recipient itemized deductions and deducted state taxes in the prior year.
E-File Form 1099-G with BoomTax
E-file your Form 1099-G with the IRS using BoomTax. Our platform handles bulk filing for government agencies.
Import Your Form 1099-G Data
You can import your data as Excel, XML, or use files from popular payroll providers like QuickBooks, UKG, ADP, and many more.
Step-By-Step Wizard
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E-File & Mail Employee Copies
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Filing Deadlines
- Recipient copy: January 31
- IRS filing (paper): February 28
- IRS filing (electronic): March 31
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BoomTax and its affiliates do not provide tax, legal, or accounting advice. This material has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for, tax, legal, or accounting advice. You should consult your own tax, legal, and accounting advisors prior to engaging in any transaction.