Are CA real estate withholding deductible in Federal return?

[Annenoe]

I had to amend my CA return due to a missed 593, real estate withholding. We sold a home (as part of estate) and the money was withheld but our CPA failed to included the CA withholding on the estate return. We just got the changes and he told us to file amended returns. When I entered the changes in Turbo Tax, it *also spit out a new amended 1041* with an additional refund. In comparing the 1041 and 1041x, I can see that additional CA withholding, the exact amount, is showing up in Itemized Deductions, Taxes You Paid, line 5a, State and Local **Income taxes**. Is that correct?

[TerryA]

Yes, the Calif tax withheld on a Form 593 is income tax and is an itemized deduction on the federal return in the year withheld.

[Lormac83]

Where do I enter this info on Turbo tax federal?

also, if my Lawyer office submitted payment for this sale of property using their EIN how do I claim it ?

[JohnW222]

You'll need to enter this on both your federal and state returns.

Please see the TurboTax Help article “How do I enter CA Form 593 real estate withholding?” for guidance.

You’ll enter your Form 593 data as described above, including your attorney’s information if prompted.

[lori58sf]

Hi,  where to enter CA real estate withholding on 1041?  i cannot find a proper place to enter it, since possible areas do not allow form 593 entry.  thanx for your help

[DaveF1006]

Your California real estate withholding has to be entered on both the state and the federal return.

To enter this on the 1040, go to:

1. Federal Taxes
2. Other>Other Tax Withholdings
3. Now enter the amount as other tax withholding
4. This will show up in the Tax Payment form as other income tax withholding.

To enter in the California State Return:

1. Select the State Taxes Tab
2. Go to Additional Payments>Other Tax Withholdings
3. Enter the Amount in the Box that mentions Real Estate or Resident or non-Resident Withholdings.
4. The amount will now be recorded in the Tax payment sheet in your California State Return and classified as a Form 593 entry.