NEW JERSEY MUNICIPAL INCOME FUND
(A PORTFOLIO OF MUNICIPAL SECURITIES INCOME TRUST)
- --------------------------------------------------------------------------------
SUPPLEMENT TO STATEMENT OF ADDITIONAL INFORMATION DATED OCTOBER 31, 1993
Please delete the table entitled "Taxable Yield Equivalent for 1993, State of
New Jersey" on page 13 and replace with the following:
<TABLE>
<S> <C> <C> <C> <C> <C>
TAXABLE YIELD EQUIVALENT FOR 1994
STATE OF NEW JERSEY
SINGLE RETURN
-----------------------------------------------------------------------------------------------------------
TAX BRACKET:
FEDERAL: 15.00% 28.00% 31.00% 36.00% 39.60%
COMBINED FEDERAL
AND STATE: 17.38% 34.18% 37.65% 42.65% 46.25%
-----------------------------------------------------------------------------------------------------------
SINGLE RETURN: $1-22,750 $22,751-55,100 $55,101-115,000 $115,001-250,000 OVER $250,000
-----------------------------------------------------------------------------------------------------------
TAX-EXEMPT YIELD TAXABLE YIELD EQUIVALENT
-----------------------------------------------------------------------------------------------------------
1.50% 1.82% 2.28% 2.41% 2.62% 2.79%
2.00 2.42 3.04 3.21 3.49 3.72
2.50 3.03 3.80 4.01 4.36 4.65
3.00 3.63 4.56 4.81 5.23 5.58
3.50 4.24 5.32 5.61 6.10 6.51
4.00 4.84 6.08 6.42 6.97 7.44
4.50 5.45 6.84 7.22 7.85 8.37
5.00 6.05 7.60 8.02 8.72 9.30
5.50 6.66 8.36 8.82 9.59 10.23
6.00 7.26 9.12 9.62 10.46 11.16
TAXABLE YIELD EQUIVALENT FOR 1994
STATE OF NEW JERSEY
MARRIED FILING JOINT
-----------------------------------------------------------------------------------------------------------
TAX BRACKET:
FEDERAL: 15.00% 28.00% 31.00% 36.00% 39.60%
COMBINED FEDERAL
AND STATE: 17.38% 34.18% 37.18% 42.65% 46.25%
-----------------------------------------------------------------------------------------------------------
JOINT RETURN: $1-38,000 $38,001-91,850 $91,851-140,000 $140,001-250,000 OVER $250,000
-----------------------------------------------------------------------------------------------------------
TAX-EXEMPT YIELD TAXABLE YIELD EQUIVALENT
-----------------------------------------------------------------------------------------------------------
1.50% 1.82% 2.28% 2.39% 2.62% 2.79%
2.00 2.42 3.04 3.18 3.49 3.72
2.50 3.03 3.80 3.98 4.36 4.65
3.00 3.63 4.56 4.78 5.23 5.58
3.50 4.24 5.32 5.57 6.10 6.51
4.00 4.84 6.08 6.37 6.97 7.44
4.50 5.45 6.84 7.16 7.85 8.37
5.00 6.05 7.60 7.96 8.72 9.30
5.50 6.66 8.36 8.75 9.59 10.23
6.00 7.26 9.12 9.55 10.46 11.16
</TABLE>
Note: For each chart, the maximum marginal tax rate for each bracket was
used in calculating the taxable yield equivalent. Furthermore, additional
state and local taxes paid on comparable taxable investments were not used
to increase federal deductions.
June 29, 1994
FEDERATED SECURITIES CORP.
(LOGO)
- --------------------------------------------------------------------------------
Distributor
004970-A (6/94)
