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Military family with my nonresident state of CA and wife is Idaho - early tax withdrawal
I'm active duty military with my home state being California. I'm stationed in Idaho where my wife has residency. She cashed out her retirement after leaving her job, which was only a few hundred dollars. She paid federal taxes on it at withdrawal. I'm a California nonresident when filing taxes. Why is Turbotax automatically making us pay taxes on it to CA? It's not much but that income was in my wife's name and she's an Idaho resident so not sure why it's transferring over to the CA return. I believe it had us pay taxes on that withdrawal to Idaho already. It has the amount transferring over to the NONSIMPLE box and asks if the CA amount is different to enter that. Do we enter 0 as it wasn't CA income or do we leave it as the amt that it was and pay the small tax on it? Seems silly for 2 states to tax that. Thank you.