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Deductions & credits
The reason you are being asked the question is that, if you itemized last year, your state tax refund might be taxable this year. I don't think there is any other reason to ask. If you did not itemize last year, check "no" even though your standard deduction (as a dependent) is sometimes less than the standard deduction for people who are not dependents.
‎February 4, 2021
2:57 PM