California 100S Schedule M-2 bug with TurboTax Business? Incorrectly assigning State Tax Refund as a AAA "addition"
I think there is a bug with TurboTax Business California.
I had a CA state tax refund in 2025; this increased my federal income for the business; so on Schedule M-2 this refund is already being counted in box 2 ("Ordinary income from Form 100S, Page 1, line 1").
TurboTax Business forces me to place my "State Tax Refund" as an "Other addition" to AAA in column (A). This seems like a bug, if anything I would have expected it to be added as Reduction not an Addition or in OAA.
Someone else mentioned this issue here: https://ttlc.intuit.com/community/state-taxes/discussion/ca-accumulated-adjustments-account-double-counting-of-state-franchise-tax-refund-for-s-corp/00/3546937
but it was last year and it wasn't posted in the business community so I figured it was more appropriate to post here.
I've tried to correct thins with the yellow manual entries but might be misunderstanding.
