This question asks if you had overpaid taxes on your 2023 State tax return. Please review your 2023 State form, however, do note that the overpayment is reported on EACH return as a separate line which has the description as 'Overpayment' The overpayment almost always matches the amount of the State refund that you have claimed the previous tax year.
If you have a 1099-G form, you can either report it as an income document OR report it as overpayment on this question. You cannot report both or you would be declaring your overpayment twice.