Question about state and federal income taxes.

[Brian Sweat]

Are state income taxes exempt from federal income taxes? In other words, can you deduct the money that you pay as state income taxes from your taxable income for federal taxes? Is it the other way around? Can you deduce the money that you pay as federal income taxes from your taxable income for state taxes? I am particularly interested in New York State. What about local income taxes.

I live in Florida and we don't have state or local income taxes and that is why I am in the dark.

[papau]

1. Nothing is automatic - currently on Fed- on itemized- state taxes deduct

but that can be changed.

And some state taxes do allow a deduction for Fed - but not in most states.

[TAH6988]

2. Yes

One can deduct the amount one pays for one's states income tax on one's federal income tax return.

[JNelson6563]

3. here in Michigan

you have to claim your state tax refund on the following year's state tax filing. Like income.

Julie

[TAH6988]

4. That makes absolutely

no sense. How the heck do the get away with that? Why would'nt one just ensure one got no refund?

[KAZ]

5. Because the previous year....

you would have claimed the entire deducted amount. Then you received a refund of a prtion of that amount, so it should go on the following year's return.

[noiretextatique]

6. in california

you can deduct state taxes on your federal return...if you can itemize. that is, if you own a house, in most cases. and, if you can itemize, if you have a state refund, it is taxable. talk about 'class warfare'...the tax system if rife with it.