Investors & landlords

It isn't for me. 1099-DIV Box 12 is federally exempt income and I just created a 1099-DIV and put in $100 for box 1a and $85 for box 12. When I look at the Form in the program, it is correct. Next, I looked at Sch B and it correctly shows the federal box 1a. The smart worksheet showing the box 12 exemption with the state but it is not included in the federal income. My 1040 shows only the interest from box 1a.

I wonder if other income is pulling in to change your value or something was entered in the wrong spot. You should view  your forms, including all worksheets:
 

• In desktop, switch to Forms Mode. 
• For online:
  1. On the left side, select  Tax Tools
  2. Select Print center
  3. Select Print, save or preview this year's return
  4. If you have not paid, select pay now.

I will add screenshots of my correct forms so you can compare and look for issues.

The 1040 shows:

Sch B

The 1099-DIV