Hello,
sorry for not having posted an update on my case. I am new at this ...
Here is what I did (it's lengthy but with all the details):
1) I confirm I am using 2019 TurboTax Download on Windows 7, and I apply all the updates.
2) Following TomYoung suggestion I also did a test tax return by creating a brand new one with only one transation, i.e. the sale of ISO. Like TomYoung I did a test sale of stock acquired via an ISO using the "guided" ISO interview, and I saw the AMT adjustment in the federal income tax return and I also saw that same adjustment flow through to the California income tax return. In this test case it worked !! IMPORTANT: I then reviewd the California Schedule P(540) Form in view "Form" mode (not "Step-by-Step"), located the section "Adjusted Gain Loss Line 9 Smart Worksheet" and took a screenshot (SC1) of the adjustment as reported correctly in this test (more later).
3) Then I went back to my "real" tax return and tested in this way. I removed all the sale transaction related to the ISO shares (but I kept all other sources of income), saved as a new tax return, then re-entered all sales transaction related to the ISO shares one by one, saving after each data entry. For each transaction I checked both the Federal and California tax return: in the Federal tax return the adjustment was correctly computed and reported WHILE in the California tax retur there was NO adjustment flow through. NONE !!
4) As the last resort I did the following. After having entered all all sales transaction related to the ISO shares I reviewd the Federal tax return, verified all data was correct compared with my personal records. The then saved the details ($ amount) of the adjustment, went into the California tax return located the California Schedule P(540) Form, selected view "Form" mode (not "Step-by-Step"), located the section "Adjusted Gain Loss Line 9 Smart Worksheet" and used the TurboTax Override option to enter my adjustment data manually in line 1, 7 and 9. I entered thsi data followin the same adjustments I learned in step 2) above when I took the screenshot (SC1) on how the adjustment were correctly transferred from Federal to California. AFTER completing this manual override data entry I checked my Californa AMT tax and my Total tax and there was NO difference. In other words, in my case with all the rest of my income, expenses and other situations the California AMT adjustment DID NOT change my tax liability.
5) Therefore based on the above 4) I decided to IGNORED tha fact that TurboTax was not automatically flowing the AMT adjustment data from Federal to California and filed my tax return WITHOUT such adjustment.
I hope this helps.
