1127

The following diagnostic is generating:

The amount on California Schedule CA (540NR) line 5, column E, may be incorrect. Under California law (R&TC Sec. 17952.2), qualified pensions paid on or after January 1, 1996, to California nonresidents are not taxable by California.

Solution:

If the pension should be non taxable:

Unnumbered Lists
  • Navigate to Screen 13.1 - Pensions, IRA Distributions.
  • Scroll to the State and Local section.
  • Enter a -1 in the field labeled State taxable amount, if different Code 8.
  • Select the next applicable pension from the left navigation panel and repeat steps 2 and 3 for each pension that shows taxable in CA.
If the pension is taxable within California, no action is required.

Informational, will not prevent e-file transmission.

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