Form 1099-G - Taxable Grants
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Entries on Form 1099-G, Box 6 Taxable Grants (this covers certain government payments) are generally reported on Form 1040, Line 21. If the item relates to an activity for which you are required to file Schedule C, E, or F or Form 4835, report the taxable amount allocable to the activity on that schedule or form instead.

To make this entry on Form 1040, Line 21:

  1. From within your TaxAct® return (Online or Desktop), click on the Federal tab.  On smaller devices, click the icon in the upper left-hand corner, then select Federal.
  2. Click Other Income to expand the category, then click Prizes, awards, or other miscellaneous income
  3. On the screen titled Miscellaneous-Amounts Received, enter the description "Form 1099-G, Box 6" and the amount

If there is a Federal income tax withheld amount in Box 4 of the 1099-G, this amount would need to be entered during the Unemployment compensation portion of the Q&A as there is not a section for this in the other income section:

  1. Click Other Income to expand the category, then click Unemployment Compensation
  2. Click Add to create a new copy of the form or Review to review a form already created
  3. Continue to the screen titled Unemployment Income - 1099-G - Tax Withheld to enter the Federal tax withheld amount