If you took the Standard Deduction on your 2023 or 2024 federal return (the years the check is based on), this check is not taxable for federal purposes.
The IRS only taxes state refunds/rebates if you deducted your state taxes on Schedule A. If you took the standard deduction, however, you received no such benefit (the refund is tax-free).
This check is not taxable by New York State regardless of whether you itemized or not.
Enter 1099-G NYS Tax Refund:
- Open or continue your return.
- Under Federal tab, Click on Wages & Income.
- Scroll down to Other Common Income, and Click on Start/Revisit next to Refunds Received for State/Local Tax Returns (Form 1099-G).
- Click "Yes" when asked if you received a state/local refund in 2025.
- Enter New York (for State).
- Enter 2024 (This check was based on your 2024 filing eligibility).
- Enter the amount of the check (e.g., $200).
- Enter $0 for Total Tax Withheld.
- Continue until you see "Let's check if your 2023 New York refund is taxable."
- Select "No" when asked if it's a standard refund.
- Enter "$0" If the program asks for the "Taxable Amount" (and you took the standard deduction in 2023).
You can check if this Worked:
Check the "Tax Summary" or preview your forms: The amount should not appear on Line 8 (Other Income) if you indicated it was non-taxable due to the standard deduction.
Check your state return for a Subtraction Adjustment. The $200 should be listed as a subtraction so that NY does not tax you on it.
**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
