On a high-income client, the Sch CA shows an addition to wages. There were no other forms of income other than straight W2 wages. Anyone have an ideas?

[joshuabarksatlcs]

Immediately came to mind: Code W - Employer contributions to HSA?

If not, look at the W-2 input, would the CA increase be tied to amounts entered with another/other code(s)?

[robinweaver]

Yes, I thought that might be it but no HSA.  I have codes V, DD, D, and C.  None of them are any where near the amount that the program is adding on Sch CA.  Any other thoughts?  I read through the instructions and can't see why there would be an addition.

[joshuabarksatlcs · Accepted solution]

Box 10 over $5,000?

If not, what are the amounts of Federal wages and state adjustment?

If not, it's likely the W-2's have something "out of the ordinary" in the sense that CA taxes the "out of the ordinary" items.  Check with the Sch CA instructions again.  

[joshuabarksatlcs]

When all fails, email Lacerte.  Attach the client file and ask.  

[robinweaver]

Yes!  That's it.  Thank you for pointing that out.  I was so focused on box 12 that I didn't think of box 10.

[joshuabarksatlcs]

You're welcome. We're here to help - and also learn from - each other.

The culprit is new for 2021.  CA did NOT conform to the raised federal benefit amount.  That's why I didn't think of it immediately.

Happy taxing.