In TurboTax (TT), enter at:
- Federal Taxes tab (Personal in Home & Business)
- Wages & Income
Scroll down to:
-Less Common Income
-Misc Income, 1099-A, 1099-C
- On the next screen, choose: reimbursed deductions from a prior year
- On the next screen, choose: refunded taxes
As others said, you would only report this as income, if you deducted it on previous year tax returns (you itemized deductions)
