Yes, I itemized and it was income tax. I do not know why the deduction would not have reduced my Federal tax. I do see, however, that the Turbotax State and Local Income Tax Refund Worksheet line 11 declares the whole refund amount to be a "Total Recovery exclusion," and then list zero in lines 12 and 14 "Total taxable refund".
Is it possible that taking that deduction did not in fact result in any reduction of my Federal tax? Was it not an allowable deduction? Was there perhaps a maximum allowable tax deduction for 2021?
