Thank you for posting this. We are in a very similar situation. We moved from CA to TX in October 2018. The sale of our CA house closed escrow that same month, leaving us with a large capital gains bill (greater than the $500k exemption).
TurboTax kept prorating our carryover loss based on the date we last lived in CA. Like the OP, Entry #1 was set to our total carryover loss by TurboTax. Entry #2 was defaulted to zero.
The amount of the carryover loss from 2017 came from the sale of a house (located in CA) my wife and her siblings inherited years ago and ended up selling for a loss a few years back.
Once I entered the full amount of the carryover loss into Entry #2, the entire carryover loss was applied to the capital gains for the CA part-year return as the sum of two prorated calculations. Is this correct?
