Question

When asked if my state doesn't tax interest from a bank, does it only apply if I am a resident of the state (MA) AND the bank is located in the same state (MA)?

Forum|Forum|5 years ago
February 6, 2021
1 reply
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I reside in Massachusetts and received a 1099-INT for the interest earned from my credit union account. The credit union is located in Chicago. Do I check the box that says "My state (ME, MD, MA, NH, NJ, TN, or WV) doesn't tax all of this interest"?

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DaveF1006

According to this Mass.gov link, all interest earned is Massachusetts income that must be reported. unless it is Interest income from state and local obligations (other than Massachusetts). Credit Union interest does not qualify for this special tax treatment. As a result, you will need to answer no to this question.

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