1099-G Local Income tax refund for tax year 2024 cannot be entered into TurboTax

[Frustrated_TT_user]

It looks like this question has not been answered. Is this a TurboTax bug?

I received a 1099-G for 2024 income tax because it is prepaid in OH.  TT will only accept up to 2023. Will this be fixed?

[KrisD15]

What is the local government in Ohio that "Pre-Taxes" income before it is earned?  How is that possible?

Are you sure this isn't  property tax payments?

As you earn income throughout the year, state tax is withheld and sent to the state. 

How can income tax be paid before you've earned the income? 

[Frustrated_TT_user]

RITA.

It's a 1099-G for tax year 2024.  Not 2023.

I don't know how it works, other than RITA (Ohio) requires you to pay estimated taxes during the year they are due. So we probably overpaid 2024 taxes in 2024 and they credited a refund to our account.

Either way, TurboTax doesn't appear to provide a way to input a 2024 1099-G for refund for tax year 2024. Is this a program problem or is there another way to do this?

[KrisD15]

How do you make the payments? I assume nothing is withheld on your W-2, so do you just mail in payments? 

If you did not get a refund, how would you claim the tax paid? 

I think you would just lower the payments you made in 2024 by the refund amount but not report (not enter) the 1099-G. 

[Frustrated_TT_user]

There is an amount withheld on W-2, plus additional payments needed.  E.g., last year we needed to pay estimated 2025 local taxes during the year. When we filed in 2024, we figure out what actually owed and overpaid (their penalties are onerous) and apparently got a refund.

It sounds like we don't report the refund?

[KrisD15]

Correct. (but I think you mean you needed to pay estimated 2024 local tax)

Usually the state refund is for the previous tax year, so the process (to claim or not to claim the 1099-G) is a bit complicated, but since you're doing the same federal tax year as the refund, just lower the amount of local tax you claim on your 2024 federal return. 

Under

Deductions & Credits

Estimates and other Taxes Paid

Estimates 

Local estimated taxes for 2024

You can enter the estimated payments made in this section, and if you hadn't gotten a refund, you would report all the payments you made in this section. Since you DID get a refund, only report the difference in this section.

If you paid 500, and got 100 refund, simply enter 400.