This definitely makes sense and was what I expected based on every other tax incentive I've seen. I was just confused when I saw that there were exceptions for state incentives, but couldn't find clear details.
Basically, if you receive 1099-G (which, I won't), report that as income, but claim the energy efficient home tax credit to offset some/all of that income. If you don't receive an 1099-G, don't claim anything that was reimbursed (regardless of who reimbursed or how the entity is funded).
I did go through the prompts in TurboTax (Deluxe) just to see if it would guide me to this outcome, but it never asked if I had received any kind of reimbursements nor did it suggest to deduct any. Kind of expected more guidance there, but oh well.
Thanks!
