No, federal taxes are not a deduction or addition. If you received interest on the refund, that is taxable income for the year in which it was received.
You can report interest income here:
- Open TurboTax Online and navigate to Wages & Income > Investments and Savings (1099-B, 1099-INT, 1099-DIV, 1099-K, Crypto) > Add/Edit
- Under "Let's import", choose "Enter a different way."
- Choose Interest, continue
- Choose "Type it in myself"
