Skip main navigation

Outdated or Unsupported Browser Detected
DWD's website uses the latest technology. This makes our site faster and easier to use across all devices. Unfortunatley, your browser is out of date and is not supported. An update is not required, but it is strongly recommended to improve your browsing experience. To update Internet Explorer to Microsoft Edge visit their website.

Federal and State Income Tax Withholding

Unemployment Insurance and the IRS

Unemployment insurance is considered income for federal and state tax purposes. Each year all of your benefit payments are reported to the Internal Revenue Service and the Wisconsin Department of Revenue.

You can ask to have state and federal taxes withheld from your unemployment benefit payments or make estimated tax payments.

How to Request Tax Withholding or Change Withholding Online

  • The Federal withholding is 10% of the weekly amount payable
  • The State withholding is 5% of the weekly amount payable

You can request to have taxes withheld or to change your current withholding status by going online at https://my.unemployment.wisconsin.gov.

Form 1099-G

Form 1099-G will be available online by mid-January each year.

If you elect to have state and/or federal taxes withheld, your Form 1099-G will include the withholdings from your unemployment benefit payments for that tax year.

Questions about UI payments and your Taxes?

If you have any questions about how your UI payments will affect your taxes:

Address Change?

If your address changes: