Why are Federal benefits (PUA, PEUC, FPUC, LWA) included in my Form 1099-G? July 22, 2021 20:00 Updated All unemployment benefits, including federal pandemic unemployment program payments are taxable. Related articles When will I receive benefits? Are there extended unemployment compensation benefits available? I forgot my user ID and/or password for signing into my account. How do I reset this information? What are my appeal rights? What should I do with my Form 1099-G amount? Do I need to pay the amount shown?