Form 1099-G - Taxable Grants
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Entries on Form 1099-G Certain Government Payments, Box 6 (this covers certain government payments) are generally reported on IRS Schedule 1 (Form 1040) Additional Income and Adjustments to Income, Line 8. If the item relates to an activity for which you are required to file Schedule C (Form 1040) Profit or Loss From Business, Schedule E (Form 1040) Supplemental Income and Loss, Schedule F (Form 1040) Profit or Loss From Farming, or Form 4835 Farm Rental Income and Expenses, report the taxable amount allocable to the activity on that schedule or form instead.

To make this entry on Schedule 1 (Form 1040), Line 8:

  1. From within your TaxAct return (Online or Desktop), click Federal. On smaller devices, click in the upper left-hand corner, then click Federal.
  2. Click Other Income in the Federal Quick Q&A Topics menu to expand, then click Prizes, awards, or other miscellaneous income.
  3. On the screen titled Miscellaneous-Amounts Received, enter "Form 1099-G, Box 6" as the Description and the amount.

If there is a Federal income tax withheld amount in Box 4 of the 1099-G, this amount would need to be entered during the Unemployment compensation portion of the Q&A as there is not a section for this in the other income section:

  1. Click Other Income in the Federal Quick Q&A Topics menu to expand, then click Unemployment Compensation.
  2. Click + Add Form 1099-G Unemployment to create a new copy of the form or click Edit to review a form already created.
  3. Continue to the screen titled Unemployment Income - 1099-G - Tax Withheld to enter the Federal tax withheld amount.

Note that any link in the information above is updated each year automatically and will take you to the most recent version of the document at the time it is accessed.