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March 14, 2024
Question

Is turbox premier mistaken on treasury t-bill tax for California?

  • March 14, 2024
  • 1 reply
  • 0 views

Hi 

 

My understanding is treasury t-bill purchased from platforms such as Schwab is NOT taxable in California. But

Turbotax premier added all t-bill income as taxable in California. Is Turbotax wrong? I have already filed the state tax, what should I do?

 

Thanks

 

    1 reply

    Employee
    March 14, 2024

    Hello

    Interest from Treasury Notes is subject to Federal taxes but is exempt from State taxes, independently of where you bought the note, in your case a T-bill, or from which state you reside.  You will have to file an amended CA return.  Good luck !

    March 14, 2024

    Thanks for the response, isn't turbotax supposed to take care of this? 

    March 14, 2024

    False alarm, turbotax indeed took care of this.  Tbill is not taxed in CA filing.