In the case of interest income from state and Federal bonds:

In the case of interest income from state and Federal bonds:



a. Interest on United States government bonds received by a state resident can be subject to that state's income tax.
b. Interest on United States government bonds is subject to Federal income tax.
c. Interest on bonds issued by State A received by a resident of State B cannot be subject to income tax in State B.
d. All of these are correct.
e. None of these are correct.


Answer: b


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