Yes, it does. If you itemized last year, some or all of your state refund may be taxable. Even when your refund is taxable, it may not be the entire amount. It depends on how much the deduction affected your refund or tax bill. Just answer a few simple questions about last year’s refund, and we’ll calculate the taxable amount for you.
Where do I enter a 1099-G? Note if the amount is in Box 1 or Box 2 of your 1099-G.