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April 7, 2025
Question

Federal Bond Income taxed on VA Non-Resident Return

  • April 7, 2025
  • 1 reply
  • 0 views

I'm a Florida Resident, with income from rental properties in Virginia. I file a NON RESIDENT Virginia return. I also have income from Government I- Bonds that is not taxed on my Federal Return. However, this income appears as a Adjustment on my Virginia return, and it seems Virginia is including it in my taxable income for the state. Is this right? Even when I specifically put FL as the State in Federal TTax, it doesn't remove it from my Virginia Income. I just need to know if this is correct? Thanks,

 

    1 reply

    April 21, 2025

    Are you sure it is being added?  The adjustment should appear on your VA return as a subtraction from VA income. So when you compare your federal income to your state income, the state income should be less than the federal. 

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