Scenario: I was approved for $1k Georgia Education Expense Credit. I did NOT include this $1k on my Federal Return as either a charity expense or additional estimated tax payment. I DID itemize on my Federal Return and took the max $10k SALT deduction. Total Georgia Tax was over $12k.
When entering info into TurboTax for Georgia Education Expense Credit "Did you take a federal itemized deduction of state income tax on your federal return for the amount donated for the Qualified Education Expense Tax Credit?" Do I leave as No, since the $1k could be considered part of the State Tax deduction excluded by the Salt or do I put as Yes due to the Salt cap? If I put yes, I lose all benefit of the credit.
Thank you for your time and responses.
