Auurgh! State Tax Refunds!

I finally motivated myself to work at least a little bit on our tax return. I updated all the 1099-INTs and 1099-DIVs fine, as well as Terry's W-2. He also got a 1099-MISC from Sungard, which wasn't right since he didn't do any work for them outside his employment, he's going to have to call and get them to rescind it, since I'm not interested in paying tax on the amount. It's probably for expense reimbursements that weren't processed until after his last day, and they didn't check off the appropriate box in their accounting system.

I even updated the unexpected K-1s I got from two ETFs I owned briefly during 2008; the funds are structured as publicly-traded partnerships, I didn't realize that when I was trading them. Nevertheless, after several years dealing with AFS as an S Corp, I'm now an old pro at entering K-1 information, so that was no problem.

The problem is all the dumb little tax refunds we got from the states. They send 1099-Gs out even if you only got a $5 refund from 2005. And since we itemize deductions, AND are phased-out of deductions each year, it is a long and complicated process to determine if any of the refunds are taxable, and if so, what portion. I HATE that calculation. So I skipped it for now. But just knowing it's out there, waiting for me, makes me dread continuing with the taxes.