topic Does state refund impact current year income? in Get your taxes done using TurboTax

Does state refund impact current year income?

cmde48743 — Tue, 24 Feb 2026 04:27:32 GMT

does the total state refund on 1099-G get added to AGI?

Re: Does state refund impact current year income?

DianeW777 — Tue, 18 Apr 2023 12:57:14 GMT

It depends. If you used itemized deductions in 2021, then you should enter your state tax refund to see if any of it is taxable. If you did not itemize deductions you do not have to enter it at all because none of it was used to reduce your income last year.

Re: Does state refund impact current year income?

jpbfine — Tue, 18 Apr 2023 13:01:51 GMT

Your previous year refund counts as income this year.

Re: Does state refund impact current year income?

BrittanyS — Tue, 18 Apr 2023 13:13:51 GMT

Yes, the previous years income can count as income in the current tax season, However, as DianeW777 stated, it is included as income if you itemized your prior years return. You do not count the refund as income if you claimed the standard deduction.

@jpbfine