taxes withheld on CD interest?

[simple987]

In 2008 I had CD accounts at different banks. Banco Popular withheld federal income tax from the interest during the year, and I was paid the remainder. This is the first bank I have ever seen do this.

Interest earned: 534.62
Fed income tax withheld: 149.71

I am filling out my 1040A and don't know how to include this on my taxes. Should I add the $149.71 to the taxes withheld on my W2 from my employer?

[jIM_Ohio]

Originally Posted by simple987

In 2008 I had CD accounts at different banks. Banco Popular withheld federal income tax from the interest during the year, and I was paid the remainder. This is the first bank I have ever seen do this.

Interest earned: 534.62
Fed income tax withheld: 149.71

I am filling out my 1040A and don't know how to include this on my taxes. Should I add the $149.71 to the taxes withheld on my W2 from my employer?

YES

the line for "taxes withheld" is taxes withheld from ALL SOURCES.

You have a choice if a bank withholds taxes on interest.