Why does TurboTax ask for Schedule F?

Some TurboTax customers, when they enter the amount of their state tax refund, are asked if the source of the tax refund is from a business or a farm.

If this happens to you, here are the steps to take:

1. Go into Forms Mode.
2. Select Form 1099-G, then right-click anywhere on the form.
3. Select About Form 1099-G. (See "Special Note: Do not use this worksheet to report state and local tax refunds. See Federal Carryover Worksheet.")
4. Delete Form 1099-G from the My Forms list.
5. Be sure that your state and local tax refunds are listed on the Federal Carryover Worksheet.
6. The requirement to link with either business (Schedule C) or farm (Schedule F) disappears.