IRS Form 1099-G

[Updated 2/10/2025]

If you receive payments from the government that may be taxable, it will be reported to you on IRS Form 1099-G.

If you received a state tax refund the previous year, you should have received a 1099-G in the January of the year following the year the refund was issued. 

If you deducted your state tax withheld on last year's federal tax return (1040-NR), then any refund you received must be added back in on this year's tax return (unless you are a student from India who took the standard deduction). 

For example, if you entered the state tax withheld on your previous year's federal tax return on 1040NR, Schedule A, Line 1, then on this year's federal return you will add back in the amount of state tax that was refunded to you. The amount of state tax refunded will be entered on this year's federal tax return on 1040NR, Schedule 1, Line 1.

If you didn't receive a 2024 1099-G, you can look at your copy of last year's state tax return to see the amount that was or should have been refunded.  (Verify that you did receive the refund.)

STUDENTS FROM INDIA: If you are an Indian student who claimed, as allowed by India/US treaty benefit, the standard deduction (you will see on your 2023 1040NR, line 12 the amount of $13,850) then you did not deduct state taxes on your 2023 1040-NR and any refund of state taxes received in 2024 are not taxable.

Your 1099-G may look something like this: