Accrued Interest on 1099-B

[Speechteach]

I have accrued interest paid on several short-term treasuries that have matured.  For this reason, the brokerage firm reported them on FORM 1099-B.  How do I enter the accrued interest paid on these using this form? I noticed that although I have filled out FORM 1099-B, the amount shows up under the Interest Income 1099-INT. section.  Thank you in advance for your assistance. 

[DianeW777]

My advice is to report the accrued interest as interest income (Form 1099-INT) instead of 1099-B.  There you can make your adjustment for the portion of accrued interest you paid at purchase.  If you are reporting Interest income on a bond that had accrued interest at the time you purchased, then you would reduce your interest income by the accrued interest at your purchase date. Enter the full amount of the interest, and then enter the Accrued Interest paid as an adjustment to reduce it. 

Open your TurboTax return:

1. Search (upper right) > Type 1099int > Click on the Jump to... link
2. Enter your interest income > Continue > Select 'I need to adjust the interest reported on my form'
3. Enter the adjustment amount (accrued interest at purchase) > Select 'My accrued interest is included in this 1099-INT'
4. This will accomplish the correct taxable income for your return.