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Program error, Prior years state refund is not coming in as taxable in 2018
2017 state tax refund should be taxable in 2018 if the taxpayer itemized. However program seems to have a bug and it isn't flowing through. 1099-g reflects refund.
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Returns that were transferred into 2018 in Dec or early January were affected The bug was fixed several weeks ago, but for the return to recognize the fix, you need to delete the client file and re-transfer in. OR You have to open the state refund worksheet and mark the box for income taxes instead of sales tax.
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