Get your taxes done using TurboTax

Correct, accrued interest you paid must be deducted. Follow these steps to make an adjustment for the accrued interest paid on your taxable bonds:

1. Select Federal Taxes
2. Under Wages & Income select Interest on 1099-INT
3. Enter your 1099-INT information, select Continue
4. Select I need to adjust the taxable amount, select Continue
5. Enter the accrued interest paid in the Adjustment box
6. Select the Reason for Adjustment as My accrued interest is included in this Form 1099-INT