Hello LaCerte Tax Colleagues,

I need guidance on how to remove Ref #13396. This error code state the following:

Form W-2 #1: Employer HSA Contributions from the federal form W-2, box 12, code W are to be reported as an add-back on California Schedule CA, Part II, Line 1, Column C. The program can't determine if the employer HSA contributions have been included in "(16) State wages, if different" (screen 10, code 13). If employer HSA contributions are not included in box 16, please enter the total employer HSA contributions from all the W-2s in "Wages (A)" (screen 51.011, code 15) ref#13396.

The program did properly capture the HSA adjustments and added to California Schedule CA Part II. State wages, if different is applicable in this scenario as the state wages reported are greater than the Federal due to the HSA contribution. As such, I have inputted the value. The employer HSA contributions are included in the Wages. 

Can anyone provide guidance on how I can resolve this diagnostic error?

Thank you,

Peter