Get your taxes done using TurboTax

Yes, as AmyC points out this may not be taxable at all. 

If you have your mother's 2020 tax return, check to see if she filed Schedule A in her federal return. If that is no Schedule A, it is not taxable. You should keep the form with her records, but you don't have to claim it.

If there is a Schedule A, then the refund may be taxable. Since the check was payable to the estate of Mary Taylor, if there is still an open estate, the 1099-G would be reported as income to the estate.

If there was no formal estate, or if it is no longer open, the income is reported by the beneficiary, which I assume is you. If that is the case, you would add this 1099-G to your tax return and go through the steps to determine if it is taxable. 

This is how to do that in TurboTax:

1. Open the return and select Federal on the left side menu, then Wages & Income.
2. Scroll down the list and find the section called Other Common Income, expand the section. 
3. Click Start or Revisit to the right of Refunds Received for State/Local Tax Returns.
4. On the screen titled, State and Local Tax Refund Summary, click + Add state or local refund.
5. The next few screens will ask you for information from the  1099-G.
6. Refer to your mother's 2020 tax return for the answers to the follow up questions. 
7. Keep going until you get to the screen that tells you whether it is taxable.