TurboTax indicates that interest from U.S. Savings Bonds is exempt from Colorado state income taxes. The only place I see to make this adjustment in Turbo Tax has the heading "Interest and Dividends from Mutual Funds", but this savings bond transaction was executed by a local brick-and-mortar bank. Is this the correct place to make the entry seeking the exemption? Or, has Turbo Tax already made this adjustment for the state filing and I just don't see it?
Another point of concern is that the 1099-INT issued by the bank indicates only that the Type is "BD", and it carries the bank's PAYER'S TIN" like the 1099-INT for my other accounts. Will the Colorado Department of Revenue know that this is interest from U.S. EE Savings Bonds?
Thanks for your insight.
