Form 1099-G Checklist – 2023 Tax Year
Purpose and Scope
Form 1099-G reports government payments, including unemployment compensation, state and local income tax refunds, Reemployment Trade Adjustment Assistance payments, taxable grants, and agriculture payments for calendar year 2023. The current revision, dated March 2024, requires filers to address identity theft safeguards and corrected reporting procedures applicable to 2023 income.
Federal, state, or local governments must file this form when they make qualifying payments to recipients during the tax year. The officer or employee of the government unit having control of the payments received or made must complete and file Form 1099-G with the IRS.
Completion Requirements For 2023
Verify both payer TIN and recipient TIN before filing, and include the 2nd TIN notation on Copy A and Copy C only when applicable. For 2023 filings, cross-reference each SSN, ITIN, ATIN, or EIN against IRS records to prevent identity theft-related filing penalties that apply to information returns filed in 2024.
You must also file Form 1099-G for each person from whom you have withheld any federal income tax under the backup withholding rules. This requirement applies regardless of the payment amount when backup withholding occurs.
Complete Box 1 (Unemployment Compensation) with total unemployment compensation paid during calendar year 2023. If you make payments from a contributory program, such as a government-paid family leave program, file a separate Form 1099-G for payments from each contributory program.
Complete Box 2 (State or Local Income Tax Refunds) with all refunds, credits, or offsets issued during 2023. Report these amounts regardless of whether the state or local government offset them against estimated tax, federal or state debt, or charitable contributions.
Complete Box 3 (Tax Year Reference) by identifying the specific tax year for which Box 2 refunds were issued. For 2023 reporting, Box 3 may reference tax years 2022, 2021, or earlier, depending on when the state or local government processed the refund.
Complete Box 4 (Federal Income Tax Withheld) with backup withholding or requested withholding on unemployment compensation, CCC loans, or crop disaster payments for 2023. Backup withholding applies if the recipient failed to provide a TIN on Form W-9, and the 2023 withholding rate applies per current procedures.
Additional Box Completion Steps
Complete Boxes 5 through 7 for RTAA payments, taxable grants, and agriculture payments received in 2023. Agriculture payments from non-USDA payers indicate nominee reporting, which means the recipient must report these amounts on Schedule F (Form 1040) or Form 8825 for partnerships.
Report RTAA payments of $600 or more to eligible individuals under the Reemployment Trade Adjustment Assistance program. Enter any taxable grant of $600 or more administered by federal, state, local, or Indian tribal government programs.
Check Box 8 if the Box 2 amount represents trade or business income tax and not a tax of general application. For 2023, this indicates the recipient must report the refund on Schedule C or F (Form 1040) as appropriate.
Complete Box 9 (Market Gain on CCC Loans) with realized gain on CCC loan repayment using cash or certificates in 2023. The recipient must report this amount on Schedule F per the 2023 instructions.
Complete Boxes 10a, 10b, and 11 for state identification number and state income tax withheld in 2023. State Copy 2 must accompany the recipient's state return if required by the recipient's state of residence.
Filing and Furnishing Requirements
Use scannable Copy A (official printed form only) for IRS filing with Form 1096. Do not print Copy A from the IRS online source, as penalties apply for non-scannable information returns filed in 2024 for the 2023 tax year.
The IRS provides official printed versions through its employer forms ordering system for filers who need paper forms. Filers with 10 or more information returns may be required to file electronically, and the IRS strongly encourages electronic filing for all filers.
Furnish Copy B (recipient copy) to each recipient by January 31, 2024. Copy B includes the 2023 corrected checkbox and identity theft warning specific to unemployment compensation payments reported in Box 1.
File Form 1096 transmittal with Copy A by February 28, 2024, if filing on paper with the IRS. If filing electronically through FIRE or IRIS systems, the deadline extends to April 1, 2024, for all information returns reporting 2023 tax year payments.
Year-Specific IRS Updates For 2023
The March 2024 revision includes expanded identity theft safeguard language on Copy B instructions for Box 1 unemployment compensation. Recipients should verify accuracy and contact the IRS identity theft resource center if they identify discrepancies for 2023 payments.
States have experienced surges in fraudulent unemployment claims, and criminals engage in identity theft to fraudulently collect benefits across multiple states. The IRS has developed resources to help recipients report identity theft and other types of unemployment fraud, including claimant fraud or employer fraud.
All copies display the CORRECTED checkbox for amended reporting under the 2023 revision. Payers must reissue corrected forms within the statute period if 2023 amounts require correction after original filing.
The 2023 instructions explicitly require a separate Form 1099-G for governmental unemployment compensation programs versus governmental paid family leave programs. Filers cannot combine these payments on a single form, and each program source must generate its own distinct Form 1099-G with the appropriate Box 1 amount.
Box 4 clarifies that 2023 backup withholding applies to CCC loans and certain crop disaster payments. The rate and threshold follow current IRS withholding schedules, and payers must report any federal income tax withheld to both the recipient and the IRS.
Copy 2 serves as the designated form for state income tax filing as required by state law. The 2023 version includes an identical box structure to other copies but carries the label “To be filed with recipient's state income tax return, when required” for proper state filing identification.
Need Help With Your Tax Filing?
If you’re missing tax documents or want to ensure the numbers you enter match IRS records, we can help.
We offer:
- Full IRS transcript retrieval (Wage & Income + Account)
- Professional tax form review
- Preparation & filing support
- Tax relief options if you owe the IRS
Call now before filing: (888) 260-9441
Fast transcript pull available
This checklist is for educational purposes only and does not constitute tax or legal advice. Always review official IRS instructions and consult a qualified professional for guidance.
