Brad,who uses the cash method of accounting,lives in a state that imposes an income tax (including withholding from wages).On April 14,2014,he files his state return for 2013,paying an additional $600 in state income taxes.During 2014,his withholdings for state income tax purposes amount to $3,550.On April 13,2015,he files his state return for 2014 claiming a refund of $800.Brad receives the refund on June 3,2015.If he itemizes deductions,how much may Brad claim as a deduction for state income taxes on his Federal income tax return for calendar year 2014 (filed in April 2015)?

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Brad is a cash basis taxpayer.His deduction is limited to the amounts paid in 2014.The $800 refund is reported as income in 2015 under the tax benefit rule.Brad's state income tax deduction for 2014 is determined as follows:
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Brad,who Uses the Cash Method of Accounting,lives in a State