Not sure that's the right answer too.
I'm sure it's not taxable for NY state taxes. But it is supposed to be taxable for federal taxes.
It doesn't make sense too that it would be federally taxable only if you itemized deductions on 2023 return, exactly because Box 1 of the 2025 Form 1099-G specifies that this Inflation Refund Check refund relates to the 2025 tax year and appears to have no relationship with the 2023 federal tax year.
