I have seen your post, but I can't reproduce it yet in the 2023 TurboTax product.
I see that the 2022 TurboTax desktop product put it in 1h, column C, which is correct. I would have assumed that the 2023 product would work the same way.
In any case, it's not "wrong" - the code W amount will be correctly added back to state income, whether it is in line 1a or 1h, as long as it is in column C. So your state numbers are correct.