In general, if you didn’t deduct state and local income taxes last year, you don’t need to pay taxes on your state and local tax refund this year.
For instance, if you didn’t itemize your deductions last year (you took the standard deduction) then your state tax refund is tax free this year.
If that is the case, the -$0- it is calculating is correct. If you itemized your deductions last year then the refund would be taxable on your 2019 tax return.
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