2013 amended refund was cashed in 2015 but noted on the 2014 return. How do I show it

[disliketurbotax]

I filed an amended return through TurboTax in 2014 for tax year 2013. It was near the end of 2014. The state took a while to issue the additional refund and the check was actually cashed at the beginning of 2015 even though the amended return was filed in 2014. TurboTax knew about it and included this additional state refunded amount with my 2014 tax return.

Since the check was technically cashed in 2015, the state sent me a 1099-G for the additional amount for 2015. I entered it in TurboTax but set taxable amount to zero because I already included this amount as taxable income on my 2014 return (TurboTax automatically included it for tax year 2014).

Is this the right approach to enter this 1099-G for 2015? Thanks.

 

[davew128]

I filed an amended return through TurboTax in 2014 for tax year 2013. It was near the end of 2014. The state took a while to issue the additional refund and the check was actually cashed at the beginning of 2015 even though the amended return was filed in 2014. TurboTax knew about it and included this additional state refunded amount with my 2014 tax return.

Since the check was technically cashed in 2015, the state sent me a 1099-G for the additional amount for 2015. I entered it in TurboTax but set taxable amount to zero because I already included this amount as taxable income on my 2014 return (TurboTax automatically included it for tax year 2014).

Is this the right approach to enter this 1099-G for 2015? Thanks.

No. It was income in 2015 not 2014. TurboTax only knew you had requested the refund, not when you received it.

 

[tranquility]

No. It was income in 2015 not 2014. TurboTax only knew you had requested the refund, not when you received it.

The OP only got the income when he cashed the check?

What has gotten into you lately?

 

[justalayman]

The OP only got the income when he cashed the check?

What has gotten into you lately?

it is not clear when op got the check. If that is critical, then maybe op should clarify.

 

[tranquility]

it is not clear when op got the check. If that is critical, then maybe op should clarify.

I agree. I was addressing the text. (That was wrong.)

 

[davew128]

The OP only got the income when he cashed the check?

What has gotten into you lately?

Excuse me? Did you read the post? ANY of it? He got the 1099-G for year 2015. Thats a pretty good indicator of when the refund was authorized and issued..IN 2015. Putting the income on his 2014 return was incorrect, WHICH IS WHAT I STATED. What has gotten into YOU lately?

 

[LdiJ]

I filed an amended return through TurboTax in 2014 for tax year 2013. It was near the end of 2014. The state took a while to issue the additional refund and the check was actually cashed at the beginning of 2015 even though the amended return was filed in 2014. TurboTax knew about it and included this additional state refunded amount with my 2014 tax return.

Since the check was technically cashed in 2015, the state sent me a 1099-G for the additional amount for 2015. I entered it in TurboTax but set taxable amount to zero because I already included this amount as taxable income on my 2014 return (TurboTax automatically included it for tax year 2014).

Is this the right approach to enter this 1099-G for 2015? Thanks.

No. The right approach would have been to exclude the income in 2014. The state would not have sent you a 1099-G for 2015 for a check that it issued in 2014. The state issues a 1099-G for the year that it issues a check, not the year that you cash it. You clearly received the refund in 2015. The appropriate thing to do now is to amend 2014 to exclude the income and then include it in 2015.

Neither TurboTax or any other online tax software absolves you from reading the instructions and understanding what you need to do. I have no idea how much money we are talking about at this point, but it clearly needs to be included in your 2015 income. Whether its worth amending 2014 is up to you.

 

[disliketurbotax]

Thanks for the replies, all. I am unable to find the exact date of check cashing in my bank statements, but as stated above, the 1099-G was issued in 2015 so I guess I must have cashed the check then.

LdiJ - you are absolutely correct. I included the 1099-G in my 2015 return and will file an amended return for 2014 accordingly.

I appreciate the quick and accurate responses.

 

[disliketurbotax]

Neither TurboTax or any other online tax software absolves you from reading the instructions and understanding what you need to do.

Never did I blame TurboTax for this error, but the tax software did carry the amount over without knowing the exact year I filed the amended return. It passed my initial sniff test because it was amended and filed in 2014, but the state took its sweet time processing the payment and I didn't fully think through the implications of that until now.

 

[davew128]

You should also consider the implications of AMT on the refund and its inclusion. It highly unlikely TurboTax will determine if you should include it in the first place if AMT was a factor on your 2013 return.

 

[Zigner]

Never did I blame TurboTax for this error...

It's implied by your userid