Interest from U.S. Treasury securities is
A)not subject to taxation.
B)taxed at the federal level, but not at the state and local levels.
C)taxed at the state and local levels, but not at the federal level.
D)taxed at the local, state, and federal levels.

Question

Quizplus · Accepted Answer

Interest from U.S. Treasury securities is subject to federal taxation, but is generally exempt from state and local taxes. However, some states may tax the interest earned on U.S. Treasury securities if they do not conform to federal tax laws.

Interest from U.S. Treasury Securities Is