Did an early distribution before moving from WA to CA, now reported on a 1099-R. The state return automatically charged me the CA state 2.5% penalty. How do I remove it since the distribution happened before becoming a CA resident?
yes, how do I manually enter it vs the automatic import?
I might need some more information for this - such as how long did you reside in CA, and while you had not moved to CA had you already purchased residential property/shifted legal residency prior to the move?
That said the solution may be as simple as manually entering the information instead of importing it - you can specify the state that withholds taxes when you do this.
yes, how do I manually enter it vs the automatic import?
This article should show you the steps:
<a rel="nofollow" target="_blank" href="https://ttlc.intuit.com/replies/4194737">https://ttlc.intuit.com/replies/4194737</a>
quick follow up thank you.
The video doesn't cover how to override the entry in the state return. I was a CA resident for 203 days in 2018. Looking at form 3805P, the number gets populated on line 1 and 3. Then a 2.5% tax is calculated on line 4 and carried to line 73 on form 540NR. Why does it show up here if I entered 0 in the "IRA and Pension Distributions - California Amount" (Nonresident adjustment" -> "Other California Taxable Income").
There used to be a way to manually override some of these forms. I can't seem to find that functionality, can you please point it out.