I am married filing jointly. My wife works remotely for a CA company, but we live in WA (no State taxes). After filling out my Federal returns, and getting ready to move on, Turbo Tax told me that, while I don't need to file State taxes for WA, based on my Federal return, I would need to file CA State non-resident taxes. I did not believe this to be the case, but I wanted to be safer than sorry, so I paid the $45 to get the CA tax software.
After filling out the information the best way that I could (splitting our income such that only her W2 income was called out on the CA portion) , it is now telling me that we should get a substantial refund from CA. This is incorrect. Her W2 shows that her company removed no taxes throughout the year (they were treating her as a WA resident, as it should be). I am not sure how Turbo Tax is calculating this, but as zero State taxes were withheld during the year, I don't believe I'm entitled to any State taxes back from CA.
At this point, my Turbo Tax is in a limbo state as I now have a CA file on there that has incorrect values in it. I also believe I was correct in my original line of thinking that I did not need to file CA taxes at all, and now I'm out $45 because of this.
If anyone from Turbo Tax can please help me to understand what I need to do to correct this (and ideally refund me the $45 for the State software), I would greatly appreciate it.
