Schedule B: Must exempt-interest dividends be listed in 2nd worksheet?
I'm reporting tax-exempt interest from multiple states. I've completed the two 1099-INT worksheets required: one detailing interest earned in my home state and another that aggregates the interest earned in all other states. All the data correctly appears in Box 8 of Schedule B's Interest Income Smart Worksheet. It also carries over accurately to line 8b of my 1040.
Here's the problem: Further down Schedule B, the Exempt-Interest Dividends Smart Worksheet asks me to list these items a second time. But when I do, the amount of tax-exempt interest doubles on my 1040. Not good.
Do I need to list these items twice on Schedule B? Or is listing them within that first Smart Worksheet enough for the IRS?
(Asked 03/27/09, Views 55)