Reporting interest on US government securities

[jennn1217]

I earned dividends with PRSCX  and 0.18% are from USG securities. I’ve entered the amount (0.18% x 1099-DIV Box 1a)  under uncommon scenarios, but it keeps getting flagged. The amount is small ~$2. I’m not sure what is the issue?

[SteamTrain · Accepted solution]

There is a workaround for that:   

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Workaround:

Edit that 1099-DIV.

On the main form page that shows boxes 1a, 1b and 2a ?

1)  .....make sure those boxes show whatever your Mutual fund sent out.

2)  Then check the box to expand the form to show all the other boxes. 

3)   Scroll down to the bottom of the page and hit "Continue"

4)   Check the box for Part is US Govt interest as you did before and Continue.

5)   Enter the US Govt interest amount as you did before...& Continue

Should be OK now.....simply checking the box in #2 clears the "Review" error.

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IF your state taxes income at ~5%, that $2 entry might save you ~10 cents in state taxes...or that 10 cents could just round to zero and do nothing.