I figured out how to take the CA increased interest deduction for home non-acquisition debt and it works. The problem is I do not know how to adjust my CA sch E mortgage interest deduction to account for the above.
For example, suppose my federal sch E says I have $1000 of home acquisition debt interest and $200 of non-acquistion debt interest that I use as a rental property in Sch E, Now in my CA state return, I can deduct $1000 + some fraction of non-acquisition debt that turbotax calculates. Say it is $100 of the $200, so I deduct $1100 as personal mortgage debt. Now I need to reduce in my Sch E the interest listed as $200 to $100. I cannot figure out how to do this. I do not want to override because I cannot efile. I double click the CA Sch E cells and nothing happens. It would seem there is a place in the line of mortgage interest, column (c) personal allocation to enter -100, but entry is not allowed. Anyone know how to do this? Thanks
