@Herb17
Did you read all of the above posts?
(Other than entering the wrong $$ in the first place)
That only happens if there is a mix of box 1,3,&8 $$ on that 1099-INT.
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1) If you bought a corporate bond in 2022, and paid accrued interest to the seller, remove all of the box 1, & 11 $$ from the combined 1099-INT and place it on a separate 1099-INT and report the accrued interest on that new 1099-INT.
2) If you bought a Treasury bond in 2022, and paid accrued interest to the seller, remove all of the box 2, & 12 $$ from the combined 1099-INT and place it on a separate 1099-INT and report the accrued interest on that new 1099-INT.
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And in the future if you buy a MUNI bond
3) If you buy a Muni bond, and paid accrued interest to the seller, remove all of the box 1, 8 & 9 $$ from the combined 1099-INT and place it on a separate 1099-INT and report the accrued interest on that new 1099-INT. The accrued interest will be subtracted from the Exempt interest line of the form 1040, BUT those $$ won't show anywhere as a separate entry...except in the new 1099-INT worksheet.
____________*Answers are correct to the best of my knowledge when posted, but should not be considered to be legal or official tax advice.*
