The amount from federal K-1 Line 13 Code W should be entered as "Other*" on line 8 with a custom description "CA PTET," and not as California withholding. The partnership didn't withhold the tax from the partner, but rather paid the tax on behalf of the partner. The information for Box 13W is intended to be used by the partner on their state tax return. Entering this as withholding is causing the double entry on the state tax forms.
For California adjustments from the K-1, the PTET is entered for Line 15 f - Form 38004-CR - Pass-Through Entity Elective Tax Credit. You have a different number (xx,631) here than was on the federal K-1 (xx,607), so I'm not sure which is correct.
The amount from the CA K-1 flows correctly to Form 3804-CR Part I Line 1a as PTE elective tax credit. This offsets the tax due and leaves a carryover to future years.
The Tax Payment Worksheet now shows only W-2 withholding, which is correct.
There should be no adjustments for itemized deductions on Schedule CA, since PTE is not an itemized deduction.
Finally, Form 540 correctly shows the PTE Election (code 242) on Line 43 and offsets the tax due on Line 36, for net due of zero on Line 48. There is a refund due for the W-2 withholding, shown on Line 99.
Please review these changes to be sure the outcome is what you expected.
@Freedom1095
@krog57
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