Question

Estate US Treasury Obligations

Forum|Forum|3 years ago
March 18, 2023
1 reply
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I have income from an estate, it is all US Treasury bonds. I entered the K-1 data, it shows up on schedule B, part 1 correctly. But, it does not appear above on the smart work sheet. Therefore it is not reported as state tax exempt income in my state tax return and it is generating state tax. Ideas? Thanks in advance.

Thanks

hbl3973

Employee

Mark37064,

I suggest looking in your state return area for adjustments to income. I know where to look for CA and CO.

M

Mark 37064Author

Thank you for your idea. Unfortunately Illinois doesn't have an adjustment for Treasury bonds, only picks the number up from the federal 1040.

A

Anonymous_

Employee

@Mark 37064 wrote:

Unfortunately Illinois doesn't have an adjustment for Treasury bonds, only picks the number up from the federal 1040.

This may not be much help if you are using an online version of TurboTax, but the adjustment is entered on Schedule M (you may have to use Forms Mode to enter the figure).

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