Please see this "solved" question from a prior year: https://ttlc.intuit.com/community/state-taxes/discussion/is-turbotax-incorrectly-reporting-tax-exemp...
I'm having a similar problem. In the federal part of TurboTax I have municipal bond interest divided between NC and other states (using "XX" for them). However, the NC part of TurboTax treats all of this interest as from NC (i.e. not having NC tax any of it). TurboTax doesn't address this common situation on the step by step panels. There's a NC Schedule S worksheet where this data could be entered but the entry box is locked (i.e. un-editable). The result of this problem is that NC income tax liability is being underestimated. I did not experience this problem with TurboTax in 2022 and 2023.
Please correct this bug ASAP.
