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Returning Member
posted Feb 28, 2021 9:37:08 AM

Interest income addition for NC state taxes

Hello,

 

The amount of this addition for NC is showing the entire federal tax exempt interest amount.  I need this to be excluding the interest from NC municipal bonds.  I made the necessary change in the 1099-INT but it is not reflecting in the NC D-400 Schedule S.  Need to fix this.  Please help.

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4 Replies
Expert Alumni
Feb 28, 2021 10:16:42 AM

Yes, you are correct. Only interest from other states besides North Carolina need to be added on Line 1 of Schedule S. When I tested this, the North Carolina Tax-Exempt Interest did not carry to Line 1.

 

Things to try to update your tax return:

  • Close your program and the browser completely. Re-open using a Chrome incognito window.
  • Delete and re-enter Form 1099-INT 
  • Delete North Carolina and re-add it

Both options can be done from within the regular interview screens by clicking on the Trash Can Icon to delete the Form.

 

See North Carolina D-400 Instructions, Schedule S, Line 1 beginning on page 17.

 

 

Returning Member
Feb 28, 2021 10:30:29 AM

Thank you for the quick response!  I have the downloaded version so can't do the incognito Chrome option.  I will try re-doing the North Carolina return first.  Else, I will re-do the 1099-INT.

Returning Member
Feb 28, 2021 12:41:01 PM

I need further help.  I looked for the Trash can icon and I can't find it.  Hence I am not able to delete any form.  

 

Thank you!

 

 

Level 15
Feb 28, 2021 12:53:29 PM

Trash Can is in the "Online" version...you said you are using the Desktop/download version...there's just a Delete button.

 

Go into the 1099-INT section on the Wages&Income page, and hit the delete button next to your problematic 1099-INT in the table of 1099-INT forms. 

 

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