Cookie2021
Level 3

Having challenges applying the unemployment exclusion in CA Form 540 and hope you can shed some light.

The Federal Adjusted Gross Income already excludes $10,200 in unemployment benefits. This federal AGI carries over to Line 13 of CA Form 540.  Line 14 of 540 excludes the entire unemployment amount.  So line 17 CA Adjusted Gross Income reflects the unemployment benefits deducted twice ----- once from Schedule 1 of form 1040 and again Line 14 California Adjustments of Form 540.

How can I reflect Line 17 CA Adjusted Gross Income to only reduce the unemployment benefits once?

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