We can either use our state income tax or state sales tax for 2018 for our itemized deductions. In both cases we are capped as many people are in certain states at 10K for combined taxes including aforementioned along with property taxes. We understood that if one utilized state sales taxes in the past for itemized deductions in lieu of state income taxes one did not have to include their state refund as income the following year. Will this be the same for state refunds of 2018 not being taxed as income in 2019 if one utilizes state sales taxes in lieu of state income taxes as an itemized deduction?
