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Personal Finance (Not Investing) • Does U.S. Government interest contribute toward Minnesota standard deduction limitation?

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Minnesota's standard deduction is subject to limitation per calculation on 2023 M1, Individual Income Tax Instructions page 14. Specifically referring to Worksheet A for Line 4 - Standard Deduction Limitation, Line 1 directly transfers federal AGI from form M1 which includes U.S. Government interest, e.g. from Treasurys.

I am correct that U.S. Government interest can increase the Minnesota standard deduction limitation (i.e. reduce the deduction), thus increasing Minnesota income tax owed?

Statistics: Posted by Smilodon — Sun May 26, 2024 2:52 pm — Replies 1 — Views 131



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