State and Local Tax Refunds

[Kinrood]

My actual refund from my state (Michigan) for 2023 matches the amount on my 2023 Turbo Tax return; however, when doing my 2024 Federal tax return, Turbo Tax only pulled forward a smaller amount (about half of my actual return).  Is there a reason that I would not have to report the actual amount of my state refund for 2023 on my 2024 Federal return? 

[AmyC]

Yes, if you itemized last year, your state and local taxes were limited to $10,000. 

• If you deducted the full refund to reach the $10,000 mark then it is all taxable.  
• If it wasn't used at all to reach the $10,000, then none of it is taxable. 
• You must have been near the limit so that part of yours is taxable.

If you took the standard deduction, none of it would be taxable.