Exemption

Accrued dividends or interest received by a seller of stocks, bonds, notes, or mortgages shall be reported by him for taxation: but such accrued interest or dividends thus advanced by the purchaser will be held taxable to the purchaser unless he filed with the Department the name or names of the seller and amounts so accrued, to obtain this exemption. The fact that an obligation is past due does not remove the interest thereon from taxation under the Code.