Series EE or I bond interest (1040)

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If the return has a Form 1099-INT or 1099-OID, visit Form 1099-INT Data entry and/or Form 1099-OID Data entry.

Otherwise, enter series EE or I bond interest, including exclusion amounts calculated on Form 8815, as follows.

Force the amount

  1. Open the Education folder.
  2. Click the Educate tab.
  3. Enter an amount in the Interest income from Series EE and I bonds (Force) field. This overrides any series ee or I interest amounts on the B&D or Broker screen in Interest income statement.

Calculate the amount

To enter details on the interest income and allow UltraTax CS to calculate the amount:

  1. Open the Income folder.
  2. Click the B&D tab or the Broker tab. Only use the Broker screen to enter a consolidated Form 1099.
  3. Open the Interest income statement and complete these fields.
    • FS: If the interest is federal-only or state-only, code it as federal or state. If the interest should be reported on both federal and state, leave this field blank. If the return has multiple states, see Entering interest and dividend income for a multi-state return.
    • TSJ: Code the interest to the Taxpayer, the Spouse, or as Joint. This field does not exist if you come from the Broker screen because the entire Broker screen is coded to the Taxpayer, Spouse, or Joint and the Interest income statement automatically picks up the code from there.
    • Type Code: Enter code 7 if the series EE or I bond interest is eligible for the 8815 exclusion.
    • Payer: Enter the payer name.
    • Interest income: Enter the taxable interest income and adjustments to interest amounts . Do not enter tax-exempt interest in this field.
    • Tax exempt: Enter the total tax-exempt interest amount, including interest income attributable to private activity bonds issued after 8/7/86.
    • AMT Int Income (PAB): Enter interest income attributable to private activity bonds issued after 8/7/86. UltraTax CS uses this amount for Form 6251. You also need to enter this amount in the Tax Exempt field.
    • US Ob $ or %: This field automatically has 100.000 because you entered Type Code 7. That means that 100% of the Interest Income amount is attributable to US government obligations and is nontaxable to the state. You can change the percent or dollar amount if 100% is not correct.
  4. For fields that were skipped during these steps, fill them in as needed for your client or to get your desired result on Schedule B.

Form 8815

To qualify for the exclusion, Series EE or I bonds must have been issued after 1989 in the taxpayers name (or jointly if married) and the taxpayer must have been 24 years old or older before the bonds were issued. Data entry for Form 8815 is also available on the Educate screen in the Education folder.

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