As prior year state refunds are taxable in the current tax year, are payments made this year for prior tax years deductible? If so, where are those entered in turbotax?

[VictoriaD75]

Yes. If you made payments for state and local taxes in 2019, they may be included on your return. To enter the payments, follow these steps:

• From the Federal menu, click on Deductions & Credits
• Expand the menu for Estimates and Other Taxes Paid
• Click Start/Revisit next to Income Taxes Paid
• Answer Yes on the following screen
• Under Other Income Taxes Paid in 2019, click Start/Revisit next to Balance due on your 2018 state taxes paid in 2019
• Enter the information on the screen that follows

Keep in mind that the state and local tax deduction including real estate taxes is limited to $10,000 and are part of itemized deductions. You would only itemize if your total deductions exceed the standard deduction for your filing status.

[michaelbmcnulty]

Thank you! 

Is it safe to presume that the same would apply for payments made in order to satisfy additional year liabilities?

If so, does turbotax accommodate multiple entries in the same manner that you described?

Thanks again!