Make sure you enter those $$ in box 3 of a 1099-INT from the US Treasury.
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'But...
Depends on the state involved.
Most states start their tax return entries by using the Federal AGI (which includes the I-bond interest) then subtracting out the bond interest from any US Federal Govt bonds. IF you entered those $$ in box 3 of the 1099-INT, then the tax software will subtract those $$ off automatically by putting them in the proper place of the particular forms needed for that state's tax return.
Which form that is, and which line it shows up on as a subtraction, depends on which state is involved.
____________*Answers are correct to the best of my knowledge when posted, but should not be considered to be legal or official tax advice.*
