Get CA FTB Publication 1001 2016

1) United States Federal law requires the interest earned on federal bonds (U.S. obligations) to be included in gross income. California does not tax this interest income. ... California taxes the interest from non-California state and local bonds.

Interest earned on savings bonds is subject to Federal income tax, but not State or local income tax. You may elect to pay tax on interest annually as it accrues or defer the tax until the bond is cashed or reaches final maturity.

Interest earned on all U.S. Treasury securities, including treasury bills, is exempt from taxation at the state and local level but is fully taxable at the federal level. At the end of each year, owners of treasury bills should be sent a 1099-INT form by the Treasury.

The interest paid by U.S. Treasury bonds is exempt from income taxation at the state and local level, but is fully taxable on your federal income tax return.

Additionally, municipal bonds can be free of state income taxes as well. ... However, if the same LA resident purchased a Texas municipal bond, the income would still be tax-free on a federal level, but the California resident would owe California state income taxes since it is a bond issued out-of-state.

A U.S. savings bond is an investment in the Treasury of the United States and guaranteed by the full faith and credit of the federal government. Because savings bonds pay interest when redeemed, any accrued interest beyond the purchase price is subject to federal income tax but not state or local taxes.

California allows deductions for home mortgage interest on mortgages up to $1 million plus up to $100,000 in equity debt.

The Mortgage Interest Deduction allows homeowners to reduce their taxable income by the amount of interest paid on a qualified residence loan. The law regarding the Mortgage Interest Deduction has been revised by the Tax Cuts and Jobs Act, and the changes will take effect beginning with returns filed in 2019.

The revised mortgage interest tax deduction The mortgage interest deduction is one of them. Starting in 2018, mortgage interest on total principal of as much as $750,000 in qualified residence loans can be deducted, down from the previous principal limit of $1,000,000.

On California returns, you never could deduct state income taxes, but you could and still can deduct property taxes as well as miscellaneous deductions if you itemize.

The good news, though, is that with the mortgage interest deduction the IRS lets you deduct that mortgage interest from your taxable income when you file your tax returns. Currently you can claim this deduction on mortgages worth up to $750,000.

between $25,000 and $34,000, you may have to pay income tax on up to 50 percent of your benefits. more than $34,000, up to 85 percent of your benefits may be taxable.

For the 2019 tax year, single filers with a combined income of $25,000 to $34,000 must pay income taxes on up to 50% of their Social Security benefits. If your combined income was more than $34,000, you will pay taxes on up to 85% of your Social Security benefits. ... Your total annual benefits would be $16,920.

If income is between $25,000 and $34,000, up to 50 percent of your benefits may be subject to tax. For income of more than $34,000, up to 85 percent of your benefits may be considered taxable income. If you and your spouse file a joint return with a combined income below $32,000, your benefits are out of reach.

Some of you have to pay federal income taxes on your Social Security benefits. ... between $25,000 and $34,000, you may have to pay income tax on up to 50 percent of your benefits. more than $34,000, up to 85 percent of your benefits may be taxable.