I have the same problem and it is a bug that needs to be fixed. The problem is in Form 5805 part II line 5. That number is not correct! It says it is coming from California Carryover Worksheet line 2, but it isn't the number that is there. (That number is correct.)
I too put in much more than the 110% required. We sold our house and owe lots of tax, but not an underpayment penalty.
HOW DO WE MANAGE TO REPORT THIS AND GET IT FIXED???
