If the party itemized and took benefit ot the NYS Sales tax in their section for taxes on the schedule A for the year of 2023.,..  then go on 2025 and on line 8 click on it  then go to line 8 on that one too... then click on 8z twice , it will bring you to a line #12.. and it will be in yellow   type in there "NYS Inflation refund and put the amounts in the proper columns... "   then it's done reporting it to the federal