Tax Drill - Refund of State Income Taxes Janice, a cash basis, unmarried taxpayer, had $1,350 of state income tax withheld during 2022 . Also in 2022 , Janice paid $200 that was due when she filed her 2021 state income tax return and made no estimated payments on her 2022 state income tax. When Janice files her 2022 Federal income tax return in April 2023, she elects to deduct $1,600 of sales/use taxes paid as an itemized deduction on Schedule A in lieu of deducting her state income taxes. As a result of overpaying her 2022 state income tax, Janice receives a refund of $360 early in 2023. How much of the refund will Janice include in her 2023 gross income in computing her Federal income tax? Tax Drill - Refund of State Income Taxes Janice, a cash basis, unmarried taxpayer, had $1,350 of state income tax withheld during 2022 . Also in 2022 , Janice paid $200 that was due when she filed her 2021 state income tax return and made no estimated payments on her 2022 state income tax. When Janice files her 2022 Federal income tax return in April 2023, she elects to deduct $1,600 of sales/use taxes paid as an itemized deduction on Schedule A in lieu of deducting her state income taxes. As a result of overpaying her 2022 state income tax, Janice receives a refund of $360 early in 2023. How much of the refund will Janice include in her 2023 gross income in computing her Federal income tax