1099-g

[meli5]

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?

[DianeW777]

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.

[meli5]

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.