Ask Terry Questions 1099G for 2020 Not Reflecting Overpayment

1099G for 2020 Not Reflecting Overpayment

By Terry Savage on April 19, 2021 | Wild Card

Hi Terry, IDES electronically sent my 1099G Benefits Paid and resulting State and Federal Tax with holdings for tax year 2020. I was over paid and returned the funds stated in full for 2020. The 1099G statement issue does not reflect (subtract) any benefits repaid and resulting tax with holding amounts. After a week wait, IDES called today and the rep did not tell me what to do as she did not know. She said to ask my tax preparer. Frustrating and disappointing on how IDES resolves problem. Can you please help or advise? Thank you.

Terry Says

On no. this is going to be the next mess with IDES!! Please tell me you have some kind of proof that you repaid IDES– either a cancelled check copy (ask your bank) or some kind of online receipt message. If so, this will be easy.
Simply have your tax preparer attach a COPY of your copy of the repayment proof and note that the 1099 reflects an erroneous amount.
The IRS will follow up. And then IDES will have to deal with the IRS!! (Like to be a fly on the wall for that conversation!)
You are not the only one with incorrect 1099 info from IDES, and I’m presuming the IRS will give you the benefit of the doubt!

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