Pierre, a cash basis, unmarried taxpayer, had $1,730 of state income tax withheld during 2015. Also in 2015, Pierre paid $433 that was due when he filed his 2014 state income tax return and made estimated payments of $1,211 towards his 2015 state income tax liability. When Pierre files his 2015 Federal income tax return in April 2016, he elects to itemize deductions, which amount to $8,650, including the $3,460 of state income tax payments and withholdings, all of which reduce his taxable income. As a result of overpaying his 2015 state income tax, Pierre receives a refund of $692 in 2016. The standard deduction for single taxpayers for 2014 was $6,200.

a. What is Pierres 2015 state income tax deduction?

b. How much of the $692 will Pierre include in his 2016 gross income? $