How do I account for a 1099-G that I repaid and is over the maximum state tax deductible?

[junkyaad]

In 2017, after incorrect advice from the Maryland Comptroller help line, I filed with the wrong resident status as I have not lived in the US for years.  After I received other advice, and realized I was still an MD resident, I filed an amended return and paid MD.  MD sent me a "refund" because they had not yet processed my amended return.  After processing, I resubmitted the payment, but now I have a 1099-g for a substantial amount.

I have heard that one way to deal with this situation is to itemize deductions and claim this repayment.  What can I do if the repayment is over the $10,000 maximum deduction for state taxes?

[Cindy0H]

This 1099G is a Maryland tax refund.  This was not a different government payment of some sort. This is not the same as income and state taxes being paid. There is not a limit on this. When you enter the 1099-G, it will ask about payments made. Make sure to read the blue box "What does this include?" Following that are some questions that might apply to your situation (see screenshot). There will be more questions to determine if this is taxable.

If you have other questions about this, ask in the comment box below.

[Edited 03.31.19|9:47am PST]

[junkyaad]

Thank you for the quick reply, but where is the screenshot?  I wasn’t sure if it was not uploaded or if there is some difference when viewing this page with a mobile device.  Thank you!

[Cindy0H]

Oops..my mistake. I will edit the answer and include it.

[junkyaad]

Thank you very much.  I'm still slightly confused after reading those question and the turbotax page (<a rel="nofollow" target="_blank" href="https://turbotax.intuit.com/tax-tips/unemployment/what-is-a-1099-g-tax-form/L8j3PjezG">https://turbo... only advice I was given before was what you said I likely don't have to worry about (the SALT deductions for 2018).  I did file itemized deductions in 2017, but that is not why i received the "refund" that I ultimately paid back.  I received the refund because my ammended return was processed too long after the payment.  Apologies for my ignorance, and again thank you VERY much for your quick reply!