You may be able to deduct interest on margin loans from your broker, or other loans you took out in order to purchase investments, up to the amount of your investment income for the year. If you paid more interest than the income you received, you can carry over the disallowed portion of the interest to later years, when you can offset it by other investment income.
After you finish your federal tax return, your information will accurately and automatically transfer into your state return. Just answer a few state specific questions, and you're done.
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