There have been a couple problems similar to this one...but not exactly the same.
1) First thing to try. Delete that 1099-DIV entirely....and see if there still are $$ assigned as CA exempt on the CA tax forms...if so, then there's a different 1099-DIV with box 12 $$, or 1099-INT with box 8 $$ that you've entered indicating those $$ are from CA bonds. Either correctly entered, or a duplicate of what you've already entered.
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or
2) IF deleting that 1099-DIV eliminates all of the CA-exempt $$, you try the following.
....2a) subtract all of the box 12 $$ that belongs to CA-exempt in dividends, and manually create a new 1099-DIV from the same issuer with only the CA $$ in box 12. Then on the follow-up page you designate it all as CA bond dividends.
.....2b) Put in the former 1099-DIV again, but make sure the CA-exempt $$ are subtracted from box 12. On the follow-up page designate it all as "Multiple States".
That should fix the problem.
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A warning though...for a 1099-DIV form make sure that the $$ designated as being CA-exempt came from a fund that held more than 50% of its assets in CA bonds. CA doesn't allow its taxpayers to designate those $$ unless the fund held mostly CA bonds.
But if you have any $$ in box 8 of a 1099-INT, those can be always split up as CA-exempt vs Multiple States at any time, since you are actually holding individual CA Muni bonds.
____________*Answers are correct to the best of my knowledge when posted, but should not be considered to be legal or official tax advice.*
