State for Pershing LLC

Kirby419 · ‎March 31, 2023

As part of my brokerage statement, I received tax-exempt dividends from Pershing LLC. TT wants to know the state where these tax exempt dividends came from. How do I know?

JulieS · ‎March 31, 2023

You should be able to find your state source information in the dividend details provided with your consolidated 1099 statement.

If your amount of exempt dividends is small, or you don't have to file a state tax return, you can choose More than one state, which is at the bottom of the drop down and just move on.

These dividends are exempt from federal tax, but only the amount that is from your home state, is exempt from state tax.

If this is a large amount of exempt dividends, you will want to figure out how much is from your state and list the balance as More than one state.

For example, if your total exempt dividend is $1,000, you file a California return, and you check the state details and it says that 5.8% is from California.

$1000 X .058 = $58 from CA.

In this case, you would select CA and enter $58. On the next line enter More than one state and enter $942 (the rest of the $1000 total).

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Mike9241 · ‎April 1, 2023

unless it's a state-specific mutual fund, usually no state allocation is given. only the fund can provide it. at most only muni interest earned on debt obligations of your state might be state tax-exempt, but that's not always the case. some states do tax muni interest paid on certain of their debt instruments. and certain funds earn muni interest from derivatives which generally are not exempt by the state.