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State tax filing
No, it only becomes taxable income if you itemized your deductions in the prior year and received a tax benefit for state taxes paid. Since the amounts were paid during 2015, then they would be included in Schedule A as a deduction (unless you claim state sales tax paid). Therefore, when you receive a refund, you must recover this deduction as income in the year received.
May 31, 2019
7:58 PM