I live in California. This year I received tax-exempt interest from a variety of municipal bonds. My CA tax form is asking me how much of this interest is from "funds with less than 50% of their assets invested in California and US obligations".
Here's the info on my tax-exempt interest from my brokerage's 1099-INT:
State of residence (CA)
- Tax-exempt interest: 950
- Accrued interest paid -44
- Bond premium- covered lot -461
Other states
- Tax-exempt interest 6299
- Accrued interest paid -2341
- Bond premium- covered lot -1678
Two questions:
1) Is the proper amount to report on my CA tax form as "less than 50% tax exempt interest" 4,621 (6299 minus 1678)?
2) Does it matter that these are individual bonds instead of "funds"?
