This Year Mary Received a $200 Refund of State Income

This year Mary received a $200 refund of state income taxes that she deducted on her tax return last year. Mary included a total of $4,000 of state income taxes when she itemized deductions last year. What amount of the refund, if any, should Mary include in her gross income this year?

A) $200 is included because Mary itemized her deductions last year.
B) $200 is included if itemized deductions exceeded the standard deduction by $200.
C) $200 is included because itemized deductions exceeded the standard deduction.
D) $200 is included even if Mary claimed the standard deduction.
E) None of the above - refunds of state income taxes are not included in gross income.