In 2016, marvin, a cash basis taxpayer, took a $2,000 itemized deduction for state income taxes paid. this increased his itemized deductions to a total that was $800 more than the standard deduction. in 2016, marvin received a $1,600 refund when he filed his 2016 state income tax return. marvin was in the 15% marginal tax bracket in 2016, but was in the 35% marginal tax bracket in 2017.