IF the exempt dividends are from multiple states, for a Municipal Bond Fund (usually reported on a 1099-DIV, box 11):
…..you only break out your own state's $$, any US territories (like Puerto Rico), and all other stares are totaled together as one entry as "Multiple States" ("Multiple States" selection is at the end of the list of states).
________________
An example for an NC resident, with $1000 in box 11 of a 1099-DIV:
NC 100
PR 50
Multiple States 850
______________________________
Note: CA and MN residents cannot do a breakout unless the fund in question holds at least 50% of it's assets in that state's bonds. IL doesn't allow it at all for Muni bond funds...only if you own individual IL bonds.
____________
ohhh, and UT has special extra exclusions... Utah residents can also exclude bond interest from fully non-income-taxing states and DC (AK, FL, NV, SD, TX, WA , WY ) ,,,might be something about ND bonds for residents of UT too, but I'm not sure why those might be involved yet.
____________*Answers are correct to the best of my knowledge when posted, but should not be considered to be legal or official tax advice.*
