Question

I got a 1099-G refund of NYC UBT tax I overpaid in 2019. TurboT says it isn't taxable, but I deducted some of it 2019 on my Sch C line 23. Don't I need to add it back?

Forum|Forum|5 years ago
April 5, 2021
1 reply
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My thought was I need to calculate the part I deducted in 2019 that was returned (not all was returned, and some was paid in 2020 estimates and not deducted) and then add that to my Schedule C income in 2020. I think TurboTax say that I didn't itemize my State and Local deductions, so it said it was taxable. But this was for business income and box 8 is checked on the 1099-G. If I need to add it back to my 2020 Schedule C, how would I do that through TurboTax? Thanks!

TurboTax Self Employed Online

MaryM428

This year you will enter it as miscellaneous income in your business expenses. Put a description that makes sense to you so you will know what it refers to is you need to explain it later. The NYC UBT tax that you deducted last year and then was refunded back to you is taxable for the amount that was refunded.

NYC Unincorporated Business Tax