doT
Level 3

Deductions & credits

I adjusted mine by doing the following (This is from my post from last years taxes but have not confirmed this years but I'm assuming it's the same reading all the responses on here)

 

There is a bug in the CA form and there is no way around it using the Step by step in the federal section.  The only way i could fix it is by manually adjusting the amount in the CA state Step by Step when it asks if there is any adjustment for interest and points reported on FORM 1098.  The adjustment that TT is calculating is $1,100,000/'total loan(s) amount (incorrectly calculated by TT)l' x total interest  minus the federal interest deduction.  If you are below the $1,100,000 in mortgage loan amount then just simply take the total mortgage interest minus the adjusted federal mortgage interest and put that number there.  It should be a positive number.  This brings the full interest being deducted in the CA forms.  It's a ridiculous workaround and honestly should be fixed.  

 

Hope that makes sense.  I have another post somewhere describing how I calculated the correct amount to deduct.