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Returning Member
posted Feb 15, 2022 6:59:54 PM

I have additional income on 1040 Schedule 1 Part 1 line 8z. I think this is supposed to show up on CA 540NR Part 2 Section B line 8z, but it does not. Why?

Applies to TurboTax Deluxe 2021 returns

0 18 4685
18 Replies
Expert Alumni
Feb 16, 2022 3:10:51 PM

Because Schedule 1, Form 1040, line 8 includes multiple income items, can you tell us which item of additional income on your Schedule 1, Form 1040, is not reflected on your Schedule CA, Form 540 NR.  Knowing which income item is missing will assist us in focusing our search.  

 

@mikefla05

 

 

Returning Member
Feb 16, 2022 6:51:15 PM

I have miscellaneous income on 1040 Schedule 1 Part 1 Line 8z (the last line of additional income).  This is carried forward to 1040 line 8 correctly, and it should appear on 540NR Part 2, B, line 8z but it does not.  Because of this, my 1040 AGI does not match 540NR Part 2, C, line 27 whereas the California instructions for 540NR clearly state it should match.

Expert Alumni
Feb 17, 2022 8:52:49 PM

Are you talking about CA (540NR)? The 540NR doesn't have a Part 2. 

Returning Member
Feb 18, 2022 7:33:15 AM

I'm looking at it now.....

 

CA (540NR) Part II (income adjustment schedule), Section B (additional income), line 8 (other income).  My income from 1040 Schedule 1 8z should appear there.

 

When you said 540NR doesn't have a Part 2 what did you mean?  It is printed on the form in Roman numerals 'Part II' but I referred to that as Part 2.  Same thing.

 

Returning Member
Feb 18, 2022 12:05:22 PM

Oh just a minute.... I think I see now.  It is the CA (540NR) Schedule I am referring to, not the 540NR Form

 

Level 1
Feb 18, 2022 9:30:48 PM

I'm seeing the same issue in the California Schedule California Adjustments - Residents Form CA(540)Part I Income Adjustment  Schedule > Section B - Additional Income > Line 8z Other Income is not transferring from IRS Form 1040 Schedule 1 Additional Income and Adjustments to Income > Part I Additional Income > Line 8z Other Income.

 

As a result, I have a mismatch in total income between the IRS and California forms.

Level 2
Feb 22, 2022 4:33:33 AM

I am having a similar problem.

Level 2
Feb 22, 2022 7:53:01 AM

I am wondering if you are working on this issue. If so, do you have any idea when it might be resolved?

Returning Member
Feb 23, 2022 9:28:37 PM

Same issue here. Schedule CA 540 Section B line 8z should have the same value as federal Schedule 1 line 8z according to instructions. Do we have someone looking into this?

Returning Member
Feb 24, 2022 8:15:35 PM

@BillM223  so it's been nearly a week.  Are we going to see any action on this?  Others are having the same problem.  I was eventually able to speak on a video call to a TurboTax agent. She understood the problem, but like everyone else was powerless to fix it directly or communicate with whomever does the actual software coding at TurboTax.  After several days she emailed me back and asked me to try again (assuming the CA forms had been updated somehow) but it made no difference.  Today she emailed again and advised me to file a paper  California return.  Seriously.  So this means no-one at TurboTax can fix this???  I've already paid for my electronic TurboTax state return and guess what.... once you've paid you can't get a refund even if you don't file.  So... some feedback that a fix is in the works (or not) would be very helpful before I go out and buy an envelope and postage stamp.  And perhaps TurboTax could do the responsible thing and refund my state filing fees?

Thank you.

 

Returning Member
Mar 4, 2022 5:55:55 PM

Well - another week and no reply.  Just in case anyone is reading this thread here's what I did this week:

1) Completely deleted all federal and state info and started from scratch

2) The federal part looks the same and computed correctly as before

3) The California 540NR questionnaire looked a bit different this time in regards to allocation of dividends and capital gains, so something has changed behind the scenes with this form, HOWEVER.....

4) Additional income from 1040 Schedule 1 is *still* not being copied over to Schedule 540NR, which was my original problem.

 

Sigh.  I guess its time to file a paper return, and I bet I will never get a refund from TT for my useless state return.

 

And one other thing... TT sent me an email about the case number for my call to their helpline live person.  I held off doing a response to that until today so I could give the system time to get fixed.  But since it isn't fixed, it's time to do my review.  So I clicked on the link and it said the window for replying has expired (its only been 6 days!).

So TurboTax is throwing up roadblocks all the way to reporting and getting bugs fixed.  I am frustrated and frankly disgusted.

 

 

 

Level 1
Mar 9, 2022 4:57:39 PM

I spoke to product support this week on the corresponding issue with CA 540. Similar response; known issue with no workaround. No commitment to fix. Will check again for updates at the end of week. This may end up being the first time in over 20 years that I need to find a new way to file my state taxes.

Returning Member
Mar 9, 2022 5:27:34 PM

Very interesting.  Known issue but no workaround?  If you do a paper return, copying the additional income from 1040 Sch 1 to Sch CA540 or 540NR is trivial.  So how come this is so difficult to fix? Unbelievable.

I bought an envelope and stamp and filled out CA540 manually.  Like you, first time doing a paper return in 20 years.

Level 1
Mar 18, 2022 8:05:06 AM

Downloaded the latest updates. Issue for CA (540) is resolved.

Returning Member
Mar 20, 2022 11:02:57 AM

Nope it is not. Well to clarify, it might be correct for CA540, but it is not correct for 540NR.  Whereas the form now correctly pulls in the other income from 1040 Sch1 and puts it in Column A (Federal amounts), line Z, of Sch 540NR, the system does not ask you to apportion it based on how much was received as a CA resident and how much as non-resident (like to does for Capital gains and dividends).  This proportion should appear in Column E (CA amounts).  That column is still blank on my CA540NR.  So.... it's only partially 'fixed'.  It might be ok now for full-time CA residents but not for part-time.

 

 

Not applicable
Apr 12, 2022 9:47:28 PM

I have the same problem with California Schedule CA (540NR) - "California Adjustments"Part II, Section B, 8z, I cannot allocate income to CA/other-state sources for other income (both other income WITH 1099-MISC and misc income WITHOUT 1099-MISC).

 

In other words, there is no way to fill out CA 540NR, Part II, Section B, 8z, column D and E. Column A figure is incorrect as well. The number does not match 1040 Schedule I 8z.

 

I am using the online edition. This needs to be fixed ASAP!

Expert Alumni
Apr 19, 2022 11:09:26 AM

You are mistaking what the purpose of column B is.  

 

  • Column B (Part II, Section A, Line 1 through Line 7, and Section B, Line 1 through Line 7 and Line 9a) – Subtract income that is not taxable to a California resident such as California lottery winnings and social security benefits. Do not use column B to deduct income that was earned while a nonresident of California or from sources outside of California. There must be a difference in state and federal tax law. Generally, if a full-year California resident cannot subtract income in column B, a nonresident or part-year resident may not subtract income in column B.

Here is the California laws dealing with non-residents.

New Member
Jun 12, 2022 6:08:13 PM

Problem is not resolved.  I checked for any latest TT upgrades as well.  Federal form 1040, Schedule 1 figure is NOT being transferred to CA 540 Schedule CA line 8z, Other Income.  We've had a phone call discussion with CA IRS about our CA return being "incorrect" because of this issue.  Is there a TT resolution to this problem?