1099-g

Forum|Forum|4 months ago
February 28, 2026
2 replies
366 views

I have a simple NJ return. Last year I received a state refund of $123. The amount in box 17 was $123.45.

This year the amount in box 17 is $161.52 which was rounded up to $162. Turbo tax keeps auto-adding a 1099-G form with the $123 and when i see the breakdown, it shows the $123 as taxable income and is being deducted from the $162, which gives me a state refund of $39. I chose the standard deduction. When I looked it up, it said if i chose standard deduction in 2024, my state return should not be considered taxable income but it seems that it still is being considered taxable income. I have completely cleared the form and reentered all my information and nothing changed.

Can anyone tell me if this is correct or not? and if not, how do i fix it?

TurboTax Basic Windows

DianeW777

Level 15

Yes. Since you did not itemize your deductions in 2024, you can keep the form in your file and do NOT enter it into your tax return for 2025. It is not taxable and will have no affect on your total tax. If you need to delete it again use the link based on your TurboTax program. Delete all 1099-G forms.

If you're using TurboTax Online software and need to delete a form, click here .
If you're using TurboTax Desktop software and need to delete a form, click here.

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meli5Author

Level 2

Thank you for your reply

I deleted the form twice. And I cleared my entire return twice and re-entered my info manually and right after I enter my W-2 income info, Turbo Tax Automatically adds that 1099-G back into the income section.. I click the delete button next to it but it stills transfers over to the State return.

ReneV4

Level 6

No. It does not sound correct. If you chose the standard deduction, then the software should calculate a zero taxable amount.

You can go back and review the questions to ensure you are indicating that you took the standard deduction, or you can delete the Form 1099-G and choose not to report it, because taking the standard deduction means you do not need to report this as income on your tax return.

To delete the Form 1099-G, do the following:

Go to Tax Tools on the left panel within TurboTax, then Tools, then Delete a form
Find the 1099-G entry and the State and Local Tax Refund Worksheet and delete both

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meli5Author

Level 2

Thanks for your reply

As stated in my previous reply, I have already tried deleting form 1099-G twice. I also cleared my return and re-entered my info manually twice. Nothing changed.