cancel
Showing results for 
Search instead for 
Did you mean: 
Highlighted
Level 1

I am not itemizing my deductions for tax year 2018, Please confirm that I do not need to report the state refund on the 2018 1099 G.

My 1099 G, 2018, states that if I am not using Federal schedule A for 2018 (i.e., not itemizing), I do not need to report the state refund amount on the 1099 G. But, turbo tax advised I must report it.  Why?

1 Reply
Level 20

I am not itemizing my deductions for tax year 2018, Please confirm that I do not need to report the state refund on the 2018 1099 G.

No. It's not if you Itemized on this year 2018.  It's on your 2017 return.

A State Tax Refund is taxable if you itemized deductions on that prior year's federal return and took a deduction for state income taxes instead of the sale tax.  You got a deduction benefit for it so now you have to include it as income. If you took the standard deduction or filed a 1040EZ or 1040A it is not taxable and you don't need to report it.

See 2017 Schedule A
https://www.irs.gov/pub/irs-prior/f1040sa--2017.pdf