If I have a 1099G that says "Calendar Year 2021" at the top, but Box 3 says "Refund is for Tax Year 2020", do I need to apply it to my 2021 tax return?

[rjs]

Yes, you enter it in your 2021 tax return. You report a state or local income tax refund in the year that you receive the refund, no matter what year it is for.

[fanfare]

when filing it is your job to determine the taxable amount of prior year state refunds and enter the taxable amount not the 1099-G amount.

[rjs]

When you enter your 1099-G for a state tax refund in TurboTax, you must enter the full refund amount shown on the 1099-G. TurboTax will then ask you questions to allow it to calculate how much, if any, of the refund is taxable. TurboTax calculates the taxable amount for you.

[fanfare]

"no matter what year it is for."

I meant to say, state refunds for years before last year.