In 2015, Uriah received the following interest payments:
Interest of $300 on an overpayment of 2014 Federal income taxes
Interest of $400 from his bank certificate of deposit.
Interest of $1,000 on municipal bonds
Interest of $1,500 on United States savings bonds (Series HH)

What amount, if any, should Uriah report as taxable interest income on his 2015 individual income tax return?

Question

In 2015, Uriah received the following interest payments: ​
Interest of $300 on an overpayment of 2014 Federal income taxes
Interest of $400 from his bank certificate of deposit.
Interest of $1,000 on municipal bonds
Interest of $1,500 on United States savings bonds (Series HH)
​
What amount, if any, should Uriah report as taxable interest income on his 2015 individual income tax return?

Quizplus · Accepted Answer

Uriah should report the $2,200 as taxable interest income on his 2015 individual income tax return, which is the total of all the interest payments received. The interest on the overpayment of 2014 Federal income taxes is also taxable income, despite being related to a prior year's tax return. The other interest payments from a bank certificate of deposit, municipal bonds, and United States savings bonds are all taxable interest income.

In 2015, Uriah Received the Following Interest Payments: ​

In 2015, Uriah Received the Following Interest Payments: