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I did itemize my deductions for 2018 and still after answering all the questions in turbotax this year, its saying my state refund of 2018 that I received in 2019 is tax free for 2019? FYI: As per schedule A of 2018 , my state tax (20k+) and real estate taxes around 8k so total around 30k which got capped to 10k on line 7. However total itemized deduction was mortgage interest + charity + 10k which was greater than standard deduction , hence itemized. Is turbotax making a wrong decision?