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Entering 1099-OID, Total Accrued Int. Pd. on Muni. Purchases and Total Debit Int. (Margin Int)

Level 2

Client received a 1099-OID. The amount in box 6 is less than the amount in box 11. All securities listed on 1099-OID are tax exempt municipal bonds. My understanding is that I reduce the amount reported in box 11 by the amount reported in box 6. But where is this entry made in screen 11? 

Client also received a 1099-INT with "total accrued int. paid on muni purchases." My understanding is that I reduce amount of tax exempt interest reported for each bond on which accrued interest was paid. But how should this entry be made in screen 11?  

EWJ statement also reports amount under the heading "other income or charges" an amount for "total debit interest (margin interest)". Where does this go in Lacerte? 

Any insight is appreciated!

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1 Comment 1
Level 15

Tax Exempt OID - Intuit Accountants Community 

Margin interest is usually investment interest (itemized deduction) if they used the margined loan amounts to buy investments. But if used to buy tax-exempt investments it is not allowed.