New York Interest on 2019 Refunds

In January 2021, New York State began sending interest payments to taxpayers who filed their 2019 New York personal income tax returns after April 15, 2020 and on or before July 15, 2020.  As discussed in our September 1, 2020 post, the IRS made similar interest payments that occurred much earlier and during 2020. 

Since taxpayers are receiving the New York interest payments in 2021, the payments will represent taxable interest income for the 2021 tax year.