MX State ID

[Ediepie]

TurboTax 2025 Deluxe offline program accepts proper 1099-INT multi-state ID input to MX and then flags it for correction in the Federal error check review.  The totals from eight states are correct and were entered individually with correct state IDs, but TurboTax reset the total form to MX and then wants it corrected.  It appears that the two events were not coordinated in the application. 

[RogerD1]

Are you entering tax exempt municipal bond interest?  You should just need to allocate the interest between your resident state(s) and the rest to multiple states.  I'm not sure what you mean by setting the multi state ID to MX - did you mean multiple states?

If you could reply back with additional details about whether this is municipal bond interest and to what is meant by MX plus any other relevant information about this situation, that will help us to better help you.

[Ediepie]

Roger, thank you for asking for more info. 

Yes, I entered 8 different states that posted interest payments on munies in 2025, each using their specific State digraph.  When TT checked for errors after all income and deduction data was completed using Deluxe prior to filing, TT flagged the compiled 1099-INT as having the erroneous MX State code.  It was not I who had entered MX; TT did that.  

At this point, I am left with three options and don't know which one is best for IRS purposes:

a. Accept the MX TT gave me, ignore it, and file;

b. Go into the form, change it to the State digraph from which I got the highest interest payment, and file; or 

c. Go into the form, delete the MX leaving the State code blank (this may pop up a TT error message again), and file.    

[SteamTrain]

@Ediepie 

1)  TTX software no longer uses "MX" for multiple states.  They now use "XX" on the form when looking at the sheet in Forms Mode.  That has been the case for a number of years...MX was used maybe 10 or more years ago (wild guess)

2)  Unless you are a resident of Utah, you don't need to break out all the states.  Just your own state, any US Territory bonds (Puerto Rico, Guam, US Virgin islands), and the remaining $$ are all lumped together as "Multiple States" (XX)

3)  You really shouldn't be working in Forms Mode, make the entries using the Interview is safer for a 1099-INT

[Ediepie]

SteamTrain - Thank you for your advice.  

Actually, I was using the interview for the entire data entry using the complete interview option. 

After getting flagged by the TT error check at the end, the MX error appeared.  That is when I went into the compiled 1099-INT form to investigate, and whoops there it was - MX.  I never entered it!  I entered each state's digraph (eight states) that paid my broker interest in 2025, none of which was MX.  TT manufactured that code and plopped it into the 1099-INT compiled summary form for my broker. 

This now poses four options - either file with MX, enter form and change to XX, clear it and leave it blank, or insert the state digraph for the state that paid the highest interest?   A puzzler for sure.  

[SteamTrain]

@Ediepie 

Are you sure you are using the 2025 desktop software??

...or...

Or did you upload a PDF or Picture of those forms?

....uploaded pictures or uploaded PDFs can result in all sorts of errors.   Only direct imports from the provider (that uses a very special format) will be mostly error free.

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So at this point, I have no idea how the "MX" got in there.

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That section of the actual worksheet should look something like this for a 1099-INT & a North Carolina Resident.

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