I have been a non-resident of California receiving two teacher retirement pensions - one from CA and one from another state in which I reside. On Schedule A (540NR), Part II, Section A, line 5b, I subtracted in column B the amount of my CA pension as I am entitled to do as a non-resident because I am not taxed on it. However, it looks like CA is still keeping my out of state pension as part of my income and taxing it. The instructions states for this line on the form: Do not deduct income that was earned while a nonresident of California or from sources outside of California. How do I ensure that CA does not tax my pension from another state where I already pay taxes on it?
