Hello,
I received a Noticed of Proposed Assessment from California for the 2015 tax year stating the following: "We disallowed the deduction for those wages you subtracted on your Schedule CA (540) California Adjustments-Residents. As a California resident, all your wages are taxable, including those wages earned outside of California."
Apparently, when my federal income information was fed into the state tax returns, all of the California wages for my wife (who was on paid family leave for a portion of 2015) were keyed in as a deduction. I've reviewed the tax information I submitted, and downloaded the software to view and amend a prior filing, and everything hows I did not claim any deductions for wages. I'm at a loss as to why the entirety of her CA wages were deducted. This appears to be a filing issue that I may need to address with TurboTax and their 100% accuracy guarantees.
Has anyone experienced this? Any insight would be appreciated. We have a large tax bill plus interest charges being assessed from 2015-2019.
