How do I enter an adjustment to my Wisconsin State Tax to credit the allowable State Tax Refund amount?

[Sbe3]

Form 1 line 1 of Wisconsin State Tax Subtractions from income?

[SharonD007]

Follow the steps below to deduct your MN tax rebate from your income so you won’t pay state tax on it: 

1. Select Prepare State from menu on left side and select Start
2. Select MN and select Continue
3. Scroll through the screens and when you get to Tell Us About Other Income Adjustments, select Received a one-time tax rebate for tax year 2023 from the State of Minnesota and select Continue
4. Enter the Rebate Payment Amount

You will see the subtraction of your MN rebate from your income on line 7 of your MN M1 form since your rebate is not taxable in MN.

For more information, review MN Department of Revenue - Direct Tax Rebate Payments.

[Sbe3]

Thank you, but I am in Wisconsin, not Min.

[DMarkM1]

Line 1 of the WI form SB for the subtraction of "taxable refund of state income tax" flows from the Federal form 1040, Schedule 1, Line 1.  When you enter your state income tax refund forms 1099-G in the federal "Wages & Income" section, your answers to the interview questions there determine any taxable amount of those state/local refunds.  If any are taxable, it goes to the Schedule 1 and to the WI form SB.   

For example if you used the standard deduction last year any state tax refund will be non-taxable and not on Schedule 1 or the WI form SB.