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Refund of Local Tax
Returning user of TurboTax after 15 years. In 2023 I received two income tax refunds from the same city: one for tax year 2021 and the other for 2022, and entered them separately. TurboTax says the 2021 refund is taxable while the one for 2022 is not. Am I correct in saying both are NOT taxable because I took the standard deduction in both years? If so, it appears the software assumes I itemized in 2021 because it only asked if I took it for 2022.
‎February 17, 2024
3:18 PM