itemized deduction

[SLucy2023]

If I recieved a NY Star Credit in 2025, but did not itemize in 2024, do I deduct this from the federal return in 2025 since I am itemizing this year?

[DianeW777]

No, you do not need to report this credit.

New York State School Tax Relief (STAR) credit check is not considered taxable income federal because you didn't itemize. It is a refund of property taxes paid, so you do not need to report it as income on your state tax return. 

[SLucy2023]

Thank you for your response. But just to be sure I am itemizing this year (for 2025) and received the star credit check in 2025. So, since I did not itemize in 2024 (last year) I do not deduct the check's amount from this year's (2025) property taxes when itimizing. Is this correct? 

Thank you so much.

[LindaS5247]

If you have received a New York STAR credit check in 2025, it is considered a refund of property taxes. If you did not itemize deductions on your 2024 federal return, you generally do not have to report the 2025 STAR check as taxable income on your federal return, even if you itemize in 2025. This is because it is not a recovery of a previously deducted amount.