Thanks for the reply but my question is:
Multi 1099 form--This year form 1099-B U.S. Savings Bonds & Treasury Obligations--Gross Proceeds $320,000.00 Cost or other basis $311,506.00 Money made when Treasury Strip time period ended $8,494.00
Form 1099-INT box 3--Money made on U.S. Savings Bonds & Treasury Obligations $7,200.00
Form 1099-OID box * OID on U.S. Treasury Obligations $1,584.04
If I enter the 1099-B info and the 1099- OID amount and the 1099-INT amounts into the program. On the Federal Return I will be counting the money made on the US Treasury Strip Twice, first as capital gains and then as Interest and OID for a total of $17,278.04, when I only made $8,494.00. Then on the State return the 1099-B amount of $8,494.00 is counted as capital gains income when any monies made on a U.S. Treasury Strip or Bond is supposed to be State tax exempt but the Interest amount and OID amount on the US treasury Strip shows that these two are State tax exempt.
It seems that the only way to avoid the money made on the US Treasury Strip from being counted twice is to not fill out the 1099-B. Is that correct?
