So many people are heading back into the workforce, but for those who collected unemployment last year, this is something you need to read as tax season approaches.

People who collected unemployment benefits in 2021 don’t appear to be getting a tax break like they did for 2020.

The American Rescue Plan Act passed in March of 2021 waived federal taxes on up to $10,200 of benefits per person for 2020, but not for 2021.

So, you really need to plan ahead.

For those who are really struggling should look into setting up a payment plan with the IRS if there is “significant enough liability” to pay over time.