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posted Jun 5, 2019 10:29:30 PM

How do i know the state my tax exempt dividends came from?

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1 Replies
Level 15
Jun 5, 2019 10:29:32 PM

You get that from your mutual fund company. If they did not provide a breakdown, you select  "More than one state" at the bottom of the state  scroll down list.

If your mutual fund company provided you a breakdown, you are only interested in your home state*. Multiply the % for your state by your total tax exempt dividends to get a $ amount (you can't enter the % in TurboTax [TT]). When asked which state, check the box "I earned tax exempt dividends in more than one state". In the drop down menu, select your state and enter the $ amount you calculated. In the 2nd box, select "More than one state" (at the bottom of the scroll down list) and enter the remaining dollar amount.

*Your state will tax all the dividends except the dividends from municipal bonds  from your state.