Support CenterHow do I exempt state interest on Form 1099-INT in a 1040 return in SureFire (2016)?
🔍 How do I exempt state interest on Form 1099-INT in a 1040 return in SureFire (2016)?
This guide shows you how to exempt state interest on a 1040 return in SureFire (2016).
⚠️ Before You Begin
Important: Use the "state adjust" columns only if you are preparing a full-year resident state return for this client.
- Do not use the "state adjust" columns for part-year or nonresident state returns.
- The Massachusetts or Tennessee state programs do not use the state adjust columns as described here. See the help for those state programs for other instructions.
📊 Step-by-Step Guide
Step 1: Open Form 1040
Use this when you need to start the process on the correct form.
Go to Form1040, line 8a.
Step 2: Jump to Schedule B
Use this to reach the section where interest details are handled.
Select the jump to Schedule B.
Step 3: Go to the Interest Statement
Use this to enter the state exemption adjustment.
From line b - Other Interest, jump to the Interest Statement.
Step 4: Enter the state adjustment
Use this to indicate the interest should be exempt on the state return.
On the Interest Statement, in the State Adjust column, enter a - sign.
Step 5: Enter the exempt amount
Use this to specify how much state interest is exempt.
Enter the amount to be state exempt.
✅ Success!
These columns affect ONLY the full-year resident state return. Use them to do the following:
- Subtract income that is taxable on the federal return but exempt on the state return; for example
📞 Still Need Help?
If you are having trouble, contact our support team:
Phone: 1-800-516-9442
Tags: federal,form