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Path: utzoo!watmath!clyde!burl!ulysses!mhuxl!mhuxj!presley
From: presley@mhuxj.UUCP (Joe Presley)
Newsgroups: net.taxes
Subject: Re: More on state income tax
Message-ID: <1227@mhuxj.UUCP>
Date: Mon, 5-Mar-84 22:19:00 EST
Article-I.D.: mhuxj.1227
Posted: Mon Mar  5 22:19:00 1984
Date-Received: Tue, 6-Mar-84 04:16:00 EST
References: <696@eisx.UUCP> pyuxa.587 <1091@utah-gr.UUCP>
Organization: AT&T Bell Laboratories, Murray Hill
Lines: 11

The IRS documents say you deduct the state taxes WITHHELD from your pay in
1983, not what you figure you really owed.  Any state income tax refund you
get is counted as income for 1984 if you deducted this year.  (You didn't get
the money until 1984, did you?) If owe the state any, then deduct the extra
in the 1985 return. 

The extra deduction could put you into a lower tax bracket.  Unfortunately,
you could be in a higher bracket come next year. 
-- 

   Joe Presley (mhuxj!presley, ihnp4!j.presley)