topic Question about Savings Bond interest exempt on North Carolina state taxes in State tax filing

Question about Savings Bond interest exempt on North Carolina state taxes

scsiguru — Mon, 17 Feb 2025 13:05:43 GMT

I'm filling out my state of North Carolina taxes and have some Series I savings bond interest. I know this interest is not taxable at the state level. But where do I include this exempt interest on my North Carolina state tax return. I do not see a line for it.

Re: Question about Savings Bond interest exempt on North Carolina state taxes

Hal_Al — Mon, 17 Feb 2025 13:23:20 GMT

If you enter the savings bond interest, in the federal section, in box 3 of a form 1099-INT, the interest will automatically be excluded from the state return (in every state).

For NC, the deduction is shown on line 8 of Schedule S and is included on line 9 of form D 400.

Re: Question about Savings Bond interest exempt on North Carolina state taxes

AnnetteB6 — Mon, 17 Feb 2025 13:22:03 GMT

TurboTax will automatically exclude the savings bond interest from your North Carolina tax return if it is entered in your Federal return in box 3 of Form 1099-INT, as stated by Hal_Al.

On the North Carolina tax return, the adjustment for the savings bond interest is included on Form D-400 line 9, Deductions from Federal Adjusted Gross Income.

@scsiguru