Skip to main content
Level 2
March 22, 2026
Question

Accrued Market Discount

  • March 22, 2026
  • 1 reply
  • 1 view

They accrued market discount for my treasury bill transactions appears on schedule B. However, this does not carry forward to the adjustments schedule on the Virginia tax return. How do I enter it so that it reduces my Virginia taxable income?

    1 reply

    baldietax
    Level 12
    March 22, 2026

    I use a manual subtraction from VA income, on page "Here's the income that Virginia handles differently" under Misc / Other Subtractions from Federal Income

     

    (Do not use Investments / Exempt US Bond Income that is an addition to income to bonds taxable in VA that are exempt Federally).

    Level 2
    March 22, 2026

    Thank you