On Dec 27, 2:17 pm, yar <y...[at]cavenet.com> wrote:
- quote -




If you took a deduction that provided a tax benefit (presuming no
amt), the
refund is taxable income


..... will never happen here in NJ - they overspend & only increase
taxes









___________________________________
<<< Benjamin Yazersky, CPA [NJ & NY] > > -----> real address on hobokeni or hobokenx <-----





"This written advice was not intended or written to be used, and it
cannot
be used by any taxpayer, for the purpose of avoiding penalties that
may be
imposed on the taxpayer."

(The foregoing legend has been affixed pursuant to U.S. Treasury
Regulations
governing tax practice.)





The information transmitted is intended only for the person or entity
to
which it is addressed and may contain confidential and/or privileged
material. Any review, retransmission, dissemination or other use of,
or
taking of any action in reliance upon, this information by persons or
entities other than the intended recipient is prohibited. If you
received
this in error, please contact the sender and delete the material from
any
computer.

--
<< ------------------------------------------------------- > << The foregoing was not intended or written to be used, > << nor can it used, for the purpose of avoiding penalties > << that may be imposed upon the taxpayer. > << > << The Charter and the Guidelines for submitting posts > << to this newsgroup as well as our anti-spamming policy > << are at www.asktax.org. > << Copyright (2007) - All rights reserved. > << ------------------------------------------------------- >

"yar" <yar[at]cavenet.com> wrote
- quote -





It's called "the tax benefit rule", and you only have to claim it as income
on the federal return IF you took an itemized deduction for state tax paid
(or withheld) in prior years.

So look on Schedule A on your 2006 return to see if indeed you took anything
for state tax paid. If so, it's most likely going to be taxable.



If not, as in you took the standard deduction amount, then as they say in
Jersey "fuget'boudit".





--
Paul A. Thomas, CPA
Athens, Georgia

--
<< ------------------------------------------------------- > << The foregoing was not intended or written to be used, > << nor can it used, for the purpose of avoiding penalties > << that may be imposed upon the taxpayer. > << > << The Charter and the Guidelines for submitting posts > << to this newsgroup as well as our anti-spamming policy > << are at www.asktax.org. > << Copyright (2007) - All rights reserved. > << ------------------------------------------------------- >

In oregon we have gotten a kicker refund. when there is too much money
in the state coffers all tax payers get this kicker refund. The
question i have is it says that we have to declare this on our federal
return as income,how can this be it is a refund of our tax monies?

--
<< ------------------------------------------------------- > << The foregoing was not intended or written to be used, > << nor can it used, for the purpose of avoiding penalties > << that may be imposed upon the taxpayer. > << > << The Charter and the Guidelines for submitting posts > << to this newsgroup as well as our anti-spamming policy > << are at www.asktax.org. > << Copyright (2007) - All rights reserved. > << ------------------------------------------------------- >