Not sure where you expect to see it removed.
It doesn't get removed from the Federal tax return.
It is supposed to be removed from any state income on your state tax return.
It worked fine on my desktop software...transferred to my NC state forms as a state income deduction.
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But you do have to ID those $$ correctly when you enter the 1099-DIV form.
You enter the 1099-DIV as-is on the main software form.
On a page after the main, you check a box to indicate that some of the $$$ are from US Government interest....and then a page or two later you enter the value of the $$$ that were form US govt bonds.
IF the 1099-DIV was imported, you have to edit the 1099-DIV to delineate the US Govt interest involved...that specific info does not come in with an imported form.
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The 1099-DIV , box 1a,b may be all, or part from US Govt bonds. So you have to determine that $$ amount yourself from whatever supplementary sheets the brokerage provide to you. Those who have multiple holdings of various stocks, bonds, Mutual funds, may find that a lot of the $$ in box 1a,b are from other things.
____________*Answers are correct to the best of my knowledge when posted, but should not be considered to be legal or official tax advice.*
