You have entered a subtraction from your federal IRA distribution income in TT/Calif. If you didn't intend to do that then let's get that entry deleted, or at least adjusted because you really do have a difference in taxability due to basis differences.
Using Forms Mode (Ctrl-2 or the button at top right of the TT screen) scroll down the left side list under California Individual open the Schedule CA Adj. Scroll down to Line 15 - IRA Distributions and remove your entry there.
That also shows up in the normal TT/Calif Step-by-Step when it shows you the screen Any IRA Distribution Adjustments? If you don't have any basis adjustment differences then leave that screen blank.
