Marie Posted March 24, 2013 Report Share Posted March 24, 2013 Client has this on the 1099. I've put in to the form, but at the bottom where i can specify how much is exempt to my state, it will only let me use the total amount minus the spec act bond interest amount. So client is not getting the full interest exemption for his state. Is this correct? I know the spec act bond amount is AMT pref, but does that mean I can't have it state exempt? Am I working the form wrong, or is the software wrong, just not sure? Quote Link to comment Share on other sites More sharing options...
Margaret CPA in OH Posted March 24, 2013 Report Share Posted March 24, 2013 If using ATX, when you enter an amount in box 10 and an amount in box 11, an additional entry portion appears at the bottom "Excludable from Federal and/or State Return. If you have the resources such as reference volumes from Mutual Fund Publishing Co or the information from the investment company, you can determine the amount of US Obligations and/or non home state income. There are many choices to make and the date flows to the state usually as taxable income for the percentage of investment out of state or deduction if USO's are not taxable in the state. In box 11 you can indicate where the private activity bond in box 11 is located. If more than one state, create multiple entries such that the total adds up. Quote Link to comment Share on other sites More sharing options...
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