Nonresident California HSA contributions 2025

[vspede]

In the interview part of California, it has a box that says HSA Contributions (adjust if necessary).  I'm a full time nonresident from IL.  If I leave the box with my current HSA Contribution of $8550, I don't owe any taxes.  But if I change this box to 0 (which I believe is what I should do because I'm a nonresident).  Than I owe $240 in taxes.  Why is this?  It used to be, we just adjusted the HSA contribution under "other adjustments to Income".  Any help would be appreciated.

[BillM223]

"If I leave the box with my current HSA Contribution of $8550, I don't owe any taxes." - Owe any taxes to whom? The IRS, California, or Illinois?

"But if I change this box to 0 (which I believe is what I should do because I'm a nonresident)." - If your employer is in Illinois, and all your W-2 work was done in Illinois, then the set-to-zero adjustment sound correct.

"Than I owe $240 in taxes" Again, owe this to whom?

[vspede]

If I change the HSA adjustment to 0.  Turbotax says I owe CA $220.  That doesn't sound right.

[BillM223]

I have a test case which acts in a somewhat similar way, with the caveat that California is a complex state return, what is happening on your return may not be at all what my test shows.

OK, which version of the TurboTax software are you using: TurboTax Online or TurboTax Desktop?

On your W-2, do you have any CA state income (box 16 with a box 15 code of CA)? I want to understand how you are entering an CA income.