UI $10,200@ exempt = up to $20,400 for MFJ if both Unemployed?

[ValRose]

Here's the legal verbiage:
(1) IN GENERAL.—In the case of any taxable year beginning in 2020, if the adjusted gross income of the taxpayer for such taxable year is less than $150,000, the gross income of such taxpayer shall not include so much of the unemployment compensation received by such taxpayer (or, in the case of a joint return, received by each spouse) as does not exceed $10,200.

On another accountants forum, someone seemingly savvy with tax law said:
When the conditional clause is triggered you just substitute the language. So for MFJ it reads:

"the gross income of such taxpayer shall not include so much of the unemployment compensation received by each spouse as does not exceed $10,200."

Can anyone confirm that BOTH spouses get up to $10,200?

Of note, if one spouse got $30,000 UI, and the other only got $5000, their deduction would be $15,200. In a community prop state like California, normally the full 35,000 would belong half and half
to each spouse--So MAYBE in this example, they could take the full $20,400...

[BOB W]

Did this source say they looked at AGI $$s includes UI benefits for first review or without?

[TAX4US]

Can someone verify that 20400 is possible? my tp and spouse are each in excess of the base amount.

[ATSMAN]

Here's the legal verbiage:
(1) IN GENERAL.—In the case of any taxable year beginning in 2020, if the adjusted gross income of the taxpayer for such taxable year is less than $150,000, the gross income of such taxpayer shall not include so much of the unemployment compensation received by such taxpayer (or, in the case of a joint return, received by each spouse) as does not exceed $10,200.

I am no expert at interpreting legal language BUT it appears from using common sense that the AGI of $150K (includes the UI) and if it is less than $150K you reduce it by UI up to $10,200. Also for MFJ it specifically says "received by each spouse" so it is $10,200 x 2.

So in the example above, the first spouse with $30K UI will have $10,200 exempted so the net taxable amount is $19,800 and the second spouse with $5K UI will get all of it exempted.

Anyone else have a different opinion??

[Burke]

Of note, if one spouse got $30,000 UI, and the other only got $5000, their deduction would be $15,200. In a community prop state like California, normally the full 35,000 would belong half and half
to each spouse--So MAYBE in this example, they could take the full $20,400...

Since wages are considered community property in those selected states, it stands to reason that unemployment due to loss of wages would be also, IMO. Check with your state as their rules may differ.