Muni bonds when moving residence
Anyone know what happens to muni bond interest tax treatment when you move? This would be in an investment account, not a retirement account.
For example, I currently live in Indiana and have several muni bonds...longest term is 3 years. Let's say I move to another state, let's say North Carolina in June of next year. Obviously the interest for 2021 would still not be taxed in Indiana, my residence state. However, what happens for 2022? Does it depend which month you move in? Is there any "cross state reciprocity"? Would the interest be pro-rated in some way?
Right now this is a fairly small amount of money (maybe $80k), and we definitely would not be moving until at least 2024...so only the 3 year munis would be affected...so not a big deal either way.
Thanks for any info.
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