Note: The best practice when entering multiple state tax information into TaxSlayer Pro is to first create the nonresident return(s) and finish with the resident return. This allows the income tax data from another state to transfer to the resident return. In TaxSlayer Pro, when creating the resident return you are prompted to pull in other state tax info, and by selecting "Yes" this info is pulled in and the credit for taxes paid to another state is automatically calculated.
California taxpayers may claim a nonrefundable credit for individual income tax paid to another state. The income must be taxed by both jurisdictions. Nonresident California taxpayers may be eligible for this credit if they are resident's in the following states or U.S. possessions: Arizona, Guam, Oregon, and Virginia.
Before starting the California return, prepare the nonresident return(s). Once all nonresident returns are finished, create the California resident return. TaxSlayer Pro will prompt to import any other state tax information found. Selecting Yes at this prompt will automatically calculate the credit for taxes paid to the other state.
Otherwise, to view or adjust the credit for taxes paid to another state in the California individual tax return in TaxSlayer Pro, from the California Tax Return Menu select:
- Total CA Nonrefundable Credits
- Credit (1) or (2) - Select Code 187 - "Other State Credit"
Additional Information:
California State Tax Information
CA FTB: Other State Tax Credit Information
CA FTB: Forms and Publications
While TaxSlayer Pro strives to make the information and links contained on this page as timely and accurate as possible, TaxSlayer Pro makes no promise or guarantee about the timeliness, accuracy or completeness of the contents of this page. The information contained on this page is for general information and is not intended to be tax advice. The user is also encouraged to review the underlying state resources and publications.