This is not really a TT question, but a general 1040 question. I have some tax-exempt dividend interest reported on my 1099-DIV (line 11) . It gets entered on the 1040 line 2a. I believe that amount should not be included in the total taxable income. So how is it subtracted? It looks like the total taxable income on 1040 includes the total ordinary interest income (1099-DIV line 1a). But I don't see where the line 11 amount is subtracted. Does that happen later when the total tax is calculated?
