1099-G for state refund

[MIku2]

I have got 1099-G for state refund for 2021, which I left more than one year ago. I tried to file it this year. However, Turbo tax says it already exits. So I do not need to add additional form? It seems the refund amount is different.

[SharonD007]

It depends. You receive form 1099-G when you receive a refund, credit of income tax, or offset (box 2) and it only must be reported on your tax return if you took a deduction for it the year before. The form 1099-G for 2021 does not go on your 2022 tax return, it would have been reported on your 2021 tax return if you took the deduction in the prior year. Did you receive a 1099-G for 2022? If you did, and you took a deduction last year for it, you would need to report it on your taxes this year. If you prepared your taxes in TurboTax in 2021 and you are logged into the same account, your state tax refund will carry over to your 2022 tax return which is why you would see a different refund amount than what is on your 2021 1099-G.

For additional details, please refer to the TurboTax article   What Is a 1099-G Tax Form?

[MIku2]

Thank you for your response. However, still not sure. I have got 1099-G for tax refund for 2021, but it came this year, I mean February 2023. Since I prepared my taxes in TurboTax in 2021 and I was logged into the same account, my state tax refund carried over to my 2022 tax return and the amount was exactly the same amount as I received as state tax refund last year. However, the amount which is written in1099-G for 2021is different from what I received for state tax refund last year.

[KrisD15]

Since you received the refund in 2023, you won't enter it on your 2022 Tax Year return. 

You should delete the refund that carried over since the program was assuming you received that in 2022, but it did not turn out that way. 

You can delete it in the program under 

Personal Income

Other Common Income

State and Local Tax Refunds

Or go to your forms and delete the 1099-G for that refund. 

If you did not itemized deductions on your 2021 tax return, you needn't worry about reporting the 1099-G next year either. If you DID itemized for Tax Year 2021, refigure your 2021 tax with the state tax you claimed on Schedule A, on your 2021 Tax Year return, is adjusted to reflect the refund. If it means you would have owed tax because of the adjustment, the additional amount will need to be claimed as income on your 2023 tax year return because that is the year you received the refund. 

To Delete a Form in Desktop:
Simply switch to FORMS (top right corner) 
Find the form you want (1099-G)
Select DELETE located at the bottom of the screen 
Confirm

To Delete a Form in Online:
Click TAX TOOLS on the left side-bar
Click TOOLS on the Drop-Down 
Click “Delete a Form” on the TOOLS CENTER screen 
Click Delete next to the form on the list 
Confirm and continue 
 

[MIku2]

Thank you for your response. 

"Since you received the refund in 2023, you won't enter it on your 2022 Tax Year return. "

No, I did not receive the refund in 2023, just received form1099-G and they said "this notice reports the refund you were allowed during 2022 for the tax year shown above (The tax year is 2021).

"You should delete the refund that carried over since the program was assuming you received that in 2022, but it did not turn out that way. "

I DID receive the amount which appear in the Turbotax program in 2022. The issue is the amount is different from the 1099-G states. The 1099-G is for tax year 2021, but I received the form in 2023 February.

[VolvoGirl]

Let's start over.  You may not need to enter it at all.   Did you take the Standard Deduction on your 2021 Federal return?  Check your 1040 line 12a.

A State Tax Refund is taxable if you itemized deductions on that prior year's federal return and took a deduction for state income taxes instead of the sale tax.  You got a deduction benefit for it so now you have to include it as income. If you took the standard deduction it is not taxable and you don't need to report it.

[VolvoGirl]

Plus why is it a different amount than you got?  Can you tell?   Is it more or less?  

[KrisD15]

I see.

The 1099-G should report what you actually received UNLESS you carried over part of your refund to apply to the following year. 

Did that happen? 

Can you tell us what the 1099-G reports and what you received? 

[MIku2]

Yes, I took the Standard Deduction on your 2021 Federal return. So I do not enter it?

Thank you for letting me know. It was really nerve-wrecking.

[MIku2]

I assume that is what happened to me as long as I looked up. Thank you for letting me know.