Thanks much for your reply to my question. When I entered the data originally , I had split the MI and non MI exempt interest and dividends per the steps you outlined. I then verified the entries by examining Sch B to confirm the tax-exempt income had been split correctly between MI and non MI income. BUT , Turbo Tax is under reporting the correct non MI income in my State return. Following one of your suggestions, and to test the software, I did temporarily change the entries to 'Multiple States' only and then back to the original entries. The result was that the income on my Michigan return did increase but not to the correct amount. On the Michigan return, there is no way to see what is behind the income entry (Sch 1, Line 1) so I cant tell what is included or not.
