Investors & landlords

I think you are fiddling with the federal income and it is affecting some state calculation since you said you can see the interest is clearly excluded. Only you can see your tax forms. If the forms are correct and carrying everything through correctly, you are in good shape. If not, find the error. Changing federal numbers changes a lot of things as there are many moving parts. You are hung up on it being the tax exempt income when it is probably just the change in income affecting several potential things.

 MN starts with the federal AGI and moves numbers about to get to MN.