Question

Should I amend my return if it appears my state tax due is incorrect?

Forum|Forum|1 year ago
March 24, 2025
1 reply
0 views

Was the state tax paid on Treasury bond dividends incorrect?

What state income tax return are you referring to? Once we know the state, we may be able to determine whether US Treasury bond dividends are not taxed by that state.

**Say "Thanks" by clicking the thumb icon in a post**Mark the post that answers your question by clicking on "Mark as Best Answer"

A

aefman50Author

State is KY Form 740

LindaS5247

You can review your Schedule M (Part II) on your Kentucky return to see if there was an adjustment made to your Federal Gross Income to reduce it for your Treasury Bond dividends for state purposes.

If you determine that you were erroneously taxed on your Treasury bond income and it affects your tax return, such as you are due a bigger refund than you can amend it. You have to wait until your return is processed before making an amendment.

Section 1. Income Taxation. Interest income from United States government obligations upon which states are prohibited by federal law from imposing a tax shall be excluded from gross income when calculating Kentucky income tax liability. Only the interest income from exempt United States government obligations included in the taxpayer’s federal taxable income may be deducted from the taxpayer’s gross income for Kentucky income tax purposes. Section 2. This section contains two (2) lists of certain agencies, authorized corporations

Click here for Schedule M.

Click here for 103 KAR 1:130. Taxation of federal and certain nonfederal obligations.

**Say "Thanks" by clicking the thumb icon in a post**Mark the post that answers your question by clicking on "Mark as Best Answer"