Let me restate. Client paid a large state estimated income tax payment in error in 2020. I caught error and got the state to issue a refund Also In calendar year 2020. Client can not deduct the larg...
See more...
Let me restate. Client paid a large state estimated income tax payment in error in 2020. I caught error and got the state to issue a refund Also In calendar year 2020. Client can not deduct the large state income tax payment on schedule A due to 10k cap. I expect state to issue a 1099 to pick up refund as taxable page 1 income on the 2020 return. How do I record this refund in Pro connect to avoid a larger income tax bill for the client ?