KrisD15
Expert Alumni

Get your taxes done using TurboTax

Estimated state tax paid function two ways on the tax returns.

 

For the FEDERAL return, when Itemizing Deductions and claiming state tax paid, it must match the tax year of the return. 

 

If the 2024 fourth quarter estimated state tax payment was made in 2024, it would count towards the itemized deduction on the tax year 2024 federal return.

If the 2024 fourth quarter estimated state tax payment was made in January 2025, it would not count towards the itemized deduction claimed on the tax year 2024 federal return. (it could then be claimed on the 2025 federal return) 

 

The same is true for the tax year 2023 state payments. 

If the 2023 fourth quarter estimated state tax payment was made in 2023, it would have counted towards the itemized deduction on the tax year 2023 federal return.

If the 2023 fourth quarter estimated state tax payment was made in January 2024, it would not have counted towards the itemized deduction claimed on the tax year 2023 federal return. (it would then be claimed on the 2024 federal return) 

 

This is why your 2024 tax return is asking about 2023 state tax payments. 

 

 

For the state return, estimated state tax is credited to the tax year you designate on the payment. 

 

 

 

 

 

 

 

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