Question
Reporting interest income
Taxpayer, a trust, received a Form 1099-INT reporting interest received that included a source that is taxable for Federal income tax purposes, but exempt from California income tax. Can this be entered on the Form 1041 Schedule 1099-INT Worksheet so that the proper amounts will flow to the Federal and California tax returns or does an adjustment have to be made on the California Form CA-541 and, if so, where would that adjustment be made in ProSeries?
