Help for insolvent estate 1041

I am filing 1041 and 982 for deceased father, who only had a small checking account at his passing. He passed away on 1/30/2020, but I got a notice that credit card debt was cancelled on 12/31/2021.  My father lived in California.

 

I just finished the 1041 on turbotax business but got a prompt to file a  state tax return. Do I need to file a CA estate tax return for this cancelled debt for an insolvent estate? Please help!