IOWA, USA — Another 1.5 million taxpayers will soon receive refunds as the IRS continues to adjust unemployment compensation from previously filed income tax returns.
Refunds via direct deposit started Wednesday, with paper check refunds set to go out Friday. The refund average is nearly $1,700.
The American Rescue Plan Act, which passed earlier this year, excluded up to $10,200 in 2020 unemployment compensation from taxes.
Leaders said the exclusion applies to individuals and married couples whose modified adjusted gross income was less than $150,000.
Since May, the IRS said they've issued unemployment compensation refunds to 8.7 million people, totaling more than $10 billion.
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