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Is Interest Paid by State for Overpayment of State Taxes to be Federal Return Reported?

I overpaid the amount of taxes due to the State of Illinois and by the time they sent me a refund check it included about $35 of interest on the amount that was overpaid, which was also paid me. Is this reportable income on my federal return?

 

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1 Reply
KrisD15
Expert Alumni

Is Interest Paid by State for Overpayment of State Taxes to be Federal Return Reported?

Yes, please enter that as interest income. 

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