I received a refund of the HARPTA withholding and was sent a 1099-G that shows it as a Net Income Tax Refund. I talked to the state and they say it may or may not be taxable depending on if I itemized my deductions last year. So how is it that they can take may money and when they refund it they tell me it is income? It was not income, and I lost money when I sold my condo, of course that loss is not deductible. Help!
