Turbo Tax is not handling income from Savings Bonds Correctly on VA State Income Tax forms. They are adding the bond interest to the FAGI instead of subtracting it.
01226
1 Replies
ErnieS0
Expert Alumni
Feb 17, 2023 7:45:53 PM
U.S. Savings Bond interest is included in federal adjusted gross income, but it’s not included in Virginia adjusted gross income.
The subtraction comes between the two numbers of line 7 of Form VA760CG.