What to enter on state tax return, when asked about state portion of your IRA deduction? Do I enter the same amount of my IRA contribution I listed on my federal return?

[Anonymous]

First time opening an IRA and taking the deduction on my federal tax return. In turbotax, during the state tax return section, it prompts me with a question on a page titled "IRA Deduction". It states: "Enter the California Portion of your IRA deductions. This amount may be limited to the amount of your california compensation."

My spouse doesn't work, so I contributed 5,500 for both of us (total 11k). So my federal return, it shows a 11k contribution/deduction. What do I enter on this section for the California return? Do I also enter 11k in this field?

There is no guidance on the page, nor a link to explain or provide insight. So I'm a bit lost what to do. Maybe this is a common thing, but its the first time i am filling out the IRA contributions. thanks!

[DanaB]

Yes, you enter the full amount if you lived and worked the whole year in California.

[Anonymous]

Thanks for the quick answer on this forum. I moved back to California, after living abroad for many years. My income was split between non US and US (CA) income. I qualify for maxing out the IRA contribution of 11k for both myself and as a spousal contribution for my wife (she does not work). I moved back to California in the middle of the year. I will make the contribution into the IRA accounts this week. Can I include the full amount of the contribution on the California return (the same as I have done on the federal return)?

If the answer is no, Turbotax knows that I only lived in California for 6 months. Why would it not just do this calculation automatically? Why would it leave it to the end user to input this amount as a free field. Obviously, I'm posting the question here, so it's likely someone would add the incorrect amount, especially seeing there is no explanation on what this field is asking and why.

[DanaB]

If your US (CA) earned income during the 6 months was at least 11k then you can still enter the full amount since you were not a resident in any other state in the US.

[Anonymous]

perfect! THANK YOU TurboTaxDana! Appreciate the quick responses. This is super helpful. Correct, I was not a resident of any other state in the US. This is the part I was unsure one. It would be great if Turbotax had included some help text on this screen. Maybe they can include what you have commented above in their help section. 😉

You have answered my question and removed the confusion. THANK YOU!

[DanaB]

You are very welcome