Normally, interest on US Treasuries is reported in box 3 of a 1099-INT instead of a 1099 DIV. I want to make sure that this income will not be taxed on my state return. Thank you!
Yes, because it is a "fund" mix of bonds, the monthly interest income is reported in box 1a, as well as any short-term capital gain distributions.
Box 3 on a 1099-INT is used when you own individual US Govt Bonds/Treasuries/Notes, or US savings Bonds,.
BUT: The value of Box 1a on the 1099-DIV may contain a lot of other $$ from other things you own in your account. SO, you must calculate the exact sub-amount of box 1a that just came from US Govt bond interest....this is usually displayed on a supplemental form attached to the consolidated 1099-B/1099-DIV/1099-INT that your brokerage issued.
Once you determine that exact $$ amount...Edit the 1099-DIV. You don't change anything on the main form itself.....you just confirm all the values in the boxes. AND Then: you continue on thru the pages that follow the main form. One right after has several checkboxes...you need to check one that says that "A portion of these dividends is U.S. Government Interest"
After that page, there will be a box to enter the $$ amount that you calculated you received from SHV (plus any other holdings you may have had that contained US Govt Bond interest). That number is what transfers to the state forms to not be taxed by the state. Be sure you do Not include the $$ from the short-term gains distribution that SHV distributed in December.
Examples below are from the Desktop software. the Online software flow looks similar
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Yes, because it is a "fund" mix of bonds, the monthly interest income is reported in box 1a, as well as any short-term capital gain distributions.
Box 3 on a 1099-INT is used when you own individual US Govt Bonds/Treasuries/Notes, or US savings Bonds,.
BUT: The value of Box 1a on the 1099-DIV may contain a lot of other $$ from other things you own in your account. SO, you must calculate the exact sub-amount of box 1a that just came from US Govt bond interest....this is usually displayed on a supplemental form attached to the consolidated 1099-B/1099-DIV/1099-INT that your brokerage issued.
Once you determine that exact $$ amount...Edit the 1099-DIV. You don't change anything on the main form itself.....you just confirm all the values in the boxes. AND Then: you continue on thru the pages that follow the main form. One right after has several checkboxes...you need to check one that says that "A portion of these dividends is U.S. Government Interest"
After that page, there will be a box to enter the $$ amount that you calculated you received from SHV (plus any other holdings you may have had that contained US Govt Bond interest). That number is what transfers to the state forms to not be taxed by the state. Be sure you do Not include the $$ from the short-term gains distribution that SHV distributed in December.
Examples below are from the Desktop software. the Online software flow looks similar
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