Screen 20.1-Passthrough K-1's. Line 5 interest income. The flow thru to TN INC 250 "nontaxable" portion is understated. Why?
Part II-- Is marked "non-passive". The Total amount reportable interest income is over the TN exemption amount. On Line 5 Banks-- Federal Schedule B shows interest income correctly. Also on Line 5 Bonds(nontaxable to state) shows interest income correctly on Federal Schedule B.
TN INC250 shows "taxable" portion as -0- which is correct in this case.
However TN INC250 shows "nontaxable" portion as only the Line 5 Bonds (nontaxable to state). It omits showing the Line 5 Banks interest. Which results in an under-reporting of nontaxable interest income to TN.
Also, on the Screen 20.1, Line 5 is used for 2 separate entries--- Banks and also Bonds(nontaxable to state). The TN software flow thru is ignoring the entry to the Line 5-Banks interest income, but is picking up the Line 5-Bonds(nontaxable to state) only.Made contact 2/24/19 with Customer Support. They confirmed that this is a software "bug" that will be fixed in a future software update. The Case # xxxxxxxxx for this issue. They instructed to continue to "work-around" this issue until the "bug" is fixed.