Are the Tax Exempt numbers that put in federal for money get from mutual funds or treasury fully carried over to the state as in state it asks for additions or subtractions. What are considered additions or subtractions. I have income from 2 states. thanks
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Generally, the amounts are carried to the state and it is recorded as taxable income. Since you did not provide the specific states, I am unable to determine if these states exempt taxation at the state or local level.
I asked about tax exempt income or dividends that are specified on the federal level as tax exempt for either Maryland or Missouri. Mutual funds are municipal funds specific for the state or various states and are divided by state on federal return. so are these tax exempt funds carried over to state. This would also be the case for treasury income that is designated on the federal form as treasury income is taxed at federal and not state. So is that carried over to state. Why do they ask for additions or subtractions on state?
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