Thank you in advance for your help.
Last year I amended my 2014 taxes and took the standard deduction. Previously, my deductions were itemized, and I deducted state taxes. Thus, in 2015 when I got my state tax refund, I added it as income on my 2015 taxes.
Now I am amending my 2015 taxes, again in order to switch from itemized to standard.
Since I amended my 2014 taxes to the standard deduction, that means I didn't deduct my state taxes. Does this mean when I amend my 2015 taxes, I will no longer include the 2014 state tax refund as income?
I am really struggling with this question, so I appreciate any help you can give. Thank you.
When you amend your 2015 return, you would no longer include the state refund as taxable income since your 2014 return is now a standard deduction. By amending 2014, you no longer are receiving any tax benefit from the itemized deduction so you would reflect this on your 2015 return.
When you amend your 2015 return, you would no longer include the state refund as taxable income since your 2014 return is now a standard deduction. By amending 2014, you no longer are receiving any tax benefit from the itemized deduction so you would reflect this on your 2015 return.