Can I enter an amount in "Regulated Investment Company (RIC) Capital Gains Earned (in federal income)" if 1099 shows individual funds' cap gains and some are RICs?

[delooox]

Regulated Investment Company (RIC) Capital Gains Earned (in federal income) Under “Interest and Dividend Adjustments” for State (California) there is a line: Regulated Investment Company (RIC) Capital Gains Earned (in federal income) My 2024 1099 shows a detail of the individual funds which paid capital gains distributions, under "Total Capital Gains Distributions Detail" (for 1099 line 2A).  When I went down that list of funds, I saw that  4 or 5 of them were also RICs, which are listed in a different detail of my 1099 concerned with foreign income, under "Foreign Income and Taxes Summary".   Nowhere in the Cap. Gains detail page does it say that any of the funds listed are undistributed capital gains.  The only column with an entry is "Capital Gain Distributions Subject to Applicable Rate". There are "qualified and non-qualified" columns on the RICs list, however. Not sure what that means.   So this is why I am thinking that Turbo line pertains to me, and that California treats those capital gains differently.  I tried to find this in my CA state publication, but I couldn't. If the capital gains distributions ARE included in Federal income, AND they ARE distributed the SAME YEAR, should I just enter those on the line: Regulated Investment Company (RIC) Capital Gains Earned (in federal income)?   When I try that experimentally, I see a bigger refund from the state of California. Seems good to me, but if I shouldn't do it, please let me know what I am missing here. 

[DaveF1006]

According to FTB Publication 1001 on page 9, undistributed capital gains from an RIC are  reported on federal Form 2439; Notice to Shareholder of Undistributed Long-Term Capital Gains, to be included in the gross income of the mutual fund shareholder is reported on a federal return but not reported on a California return. This is why you are receiving a bigger refund after making an adjustment in your California return.

California's tax treatment of Regulated Investment Company (RIC) capital gains differs from federal tax rules in some cases. Based on what I found, California generally taxes undistributed capital gains from RICs in the year they are distributed, rather than the year they are earned.  It appears you made this adjustment correctly.