Line 5a 1040 Schedule A on my draft return has $12,873 but total VA state est tax pymts is 8,192. Why? W2s n/a. IT Tier 2 says no IT issues & inputs correct.

[Dayna10]

Was on the phone with Turbo Tax today for 8 hours.

[MelindaS1]

From the IRS instructions for Schedule A, remember to include these overlooked state/local tax payments, along with your quarterly estimates: 

• State and local income taxes paid in 2025 for a prior year,
  such as taxes paid with your 2024 state or local income tax
  return. Don't include penalties or interest.
• State and local estimated tax payments made during 2025,
  including any part of a prior year refund that you chose to have
  credited to your 2025 state or local income taxes.

If you figure those amounts in - does it equal the $12,873 total flowing to Line 5a? 
 

To keep digging into the calculated total, you can check your inputs for state and local tax payments in the Desktop version of TurboTax using these steps:

1. Select Forms
2. Under Forms in My Return select Schedule A
3. On Line 5a, right click with your mouse into the box, and select Data Source from the drop-down
4. From the Data Source window, select Tax and Interest Deduction Worksheet
5. On this Worksheet, right click on Line h to find each page that flows into the total of Line 5a
   • These Data Source links are clickable, to quickly re-visit any entries that calculate the total
   • If any values on the data sources Tax Payments Worksheet, Forms W-2 & W-2G Summary, or State Tax Refund Worksheet have errors that you cannot edit, tag me with my username @MelindaS1 for further investigation

[Dayna10]

Melinda,

The numbers are much closer now. Thank you.  I had been including my four estimated 2025 state tax payments, not the estimated state tax payments made during 2025. When I included my higher estimated state tax payment for 4th quarter 2024 made in Jan 2025, and excluded the smaller 4th quarter 2025 payment made in Jan 2026, the total became. $13, 219 in estimated state payments. I also had $100 withheld in 2025 from an RMD for 2025 state taxes. If you add that $100, then my total state tax payments made in 2025 was $13,319. I also received the refund due for my 2024 state taxes of $542. Subtracting $542 from $13,319 leaves $12,777 (quite close to Turbo's number). Comparing taking the standard deduction versus itemizing, it turns out taking the standard is slightly better for me when I consider both state and federal taxes, in which case Line 5a won't be a factor. I am interested though, should that refund I received of $542 be subtracted as I did above? I didn't read anything specific on that in Schedule A , line 5a instructions. 

[RogerD1]

The estimated payment that you made in January 2025 was for your 2024 taxes and would count toward state taxes that you paid in 2024, while the estimated payment for January 2026 would have been made for 2025.

As for the state refund you received in 2025 for your 2024 tax return:  That would not get subtracted from 2025 tax payments as it was a refund of overpaid taxes in 2024.  Instead, the 2024 state refund amount might get included in taxable income for 2025 if you had itemized deductions and your state income tax payments plus your property taxes were under $10,000 in 2024.  Judging by your 2025 estimated payments, it seems likely that your state and local tax payments for 2024 were more than $10,000, in which case you would not need to report your 2024 state tax refund as income on your 2025 taxes.  If you took the standard deduction in 2024, there would also be nothing to report for your 2024 state tax refund.

For 2025, the state and local tax deduction cap increased to $40,000, so you may need to report a 2025 state tax refund on your 2026 return.