Note: To get an overpayment waiver, you need to fill out a form for each time you received a federal pandemic program overpayment. To request a tax refund, file an Application for Refund - Sales and Use Tax (Form DR-26S) or Application for Refund - All Other Taxes (Form DR-26).This chapter deals with state law provisions for identifying, establishing, and collecting Unemployment. Insurance (UI) benefit overpayments. Unemployment compensation is taxable income. Overpayments are considered paid when received and must be included in the employee's income when received.