What to do with state refunds received from amended return?

[hongy]

I amended 2018 return and received the state refunds in 2020 and federal refund in 2021.

Do I input these state refunds (had multiple state income) in 2020 return?

And what should I do with federal refund? Report in 2021?

I really appreciate any advice.

[robtm · Accepted solution]

Do you mean you received a federal refund for 2020 (not 2021)?  It depends on if you itemized your deductions for 2018. If you did, then the state refunds should be included as income in  2020. If you took the standard deduction for 2018, then they do not have to be reported.

[hongy]

Thank you for your advice.

It amended the 2018 return and as a result received the 2018 refund during 2020 for states, and federal took a while and received the refund (2018 amendment) in 2021.

I took standard deduction. So according to your reply, I do not need to include the state refund received during 2020. 

Is there any rule for federal refund? Since it was received in 2021, even if I have to plug in this number it would be for tax return for 2021. But just wondered.

Thanks again for your help.

[robtm]

There is no rule for Federal refund, you just get to keep it - it's your money anyway. Unless you have to file an amended return which may or may not increase/decrease your tax liability.

[hongy]

Thank you so much for your help!