You must indicate that you choose to have federal taxes withheld from your unemployment payment or we will not withhold them. Federal withholdings are 10 percent of your gross benefit payment.
Need to make estimated tax payments? See IRS Publication 505, Tax Withholding and Estimated Tax or see Form 1040-ES.
Need more info? Go to the IRS website.
The Virginia Employment Commission will send you (and the IRS) Form 1099G at the year’s end detailing the benefits you received plus any federal tax withholdings elected. If you change addresses, you must give the VEC the new address to receive your 1099G.