Understanding the 1099-G Federal Tax Form

What is the primary purpose of the 1099-G federal tax form?

• To report income received from government sources

• To file a personal income tax return

• To apply for a government grant

• To pay state and local taxes directly

Which of the following is NOT a type of income that may be reported on a 1099-G form?

• Unemployment benefits

• State and local tax refunds

• Agricultural payments

• Wages from a private employer

A taxpayer receives a 1099-G form showing a state tax refund. What should the taxpayer do with this information when filing their federal tax return?

• Report the refund as income if required by IRS rules

• Ignore the form, as it is not important

• Use it to pay their state taxes

• Send it back to the Department of Revenue

What tool can be used to help determine how the 1099-G was calculated and if a taxpayer is due to receive a 1099-G?

• Tax refund estimator

• 1099-G calculator

• Income tax table

• W-2 summary tool

A taxpayer who claimed itemized deductions on their federal income tax return and received a state tax refund for that year will:

• Receive a 1099-G for the refund amount

• Not receive any tax forms

• Only receive a 1099-INT

• Be required to file an amended return

According to the information provided, under what condition will LDR not issue a 1099-G to a taxpayer?

• If the taxpayer's overpayment is less than $10.00.

• If the taxpayer's overpayment is more than $10.00.

• If the taxpayer is required to report income to the IRS.

• If the taxpayer files late.

Where on the 1099-G form can you find the tax year for which the form was issued?

• Near the bottom-left of the form

• Near the top-right of the form

• In the middle of the form

• On the back of the form

Why is it important for taxpayers to check the tax year indicated on the 1099-G form?

• To verify the payer’s address

• To ensure the overpayment or refund applies to the correct calendar year

• To check the recipient’s name

• To find the account number

Which tool should you use to check if a taxpayer was due a 1099-G?

• 1099-G calculator

• W-2 generator

• Tax refund estimator

• Income statement viewer

What is the correct sequence to check if a taxpayer was due a 1099-G using the account level?

• Account level, then select “tax period,” then “other” tab

• Account level, then “letters” tab

• Account level, then “summary” tab

• Account level, then “payments” tab