Which state is the most progressive in the taxation of unemployment benefits. Learn more. We’ll also let you know the states that have issued guidance regarding how they will deal with the federal exemption of $10,200 for unemployment compensation for 2020. We also give an overview of the state’s income and sales tax. We also provide a provide a link to our State-by-State Guide to Taxes for Middle-Class Families in order to provide www.sportingliving.com sportingliving sporting living Website sporting living com a more complete understanding of the tax burden you’ll be facing.