VITA
This Presentation is designed to:
• Assist you in completing simple State of
California Tax Returns.
• Provide a reference while using TaxWise
software.
For tax law information please consult FTB 5130,
Volunteer Reference Manual, or the 540 Booklet.
 540 Booklet
 Publication 1001 – California Adjustments
 Publication 1005 – Pension and Annuity
Guidelines
2015 Instructions for Form FTB 3532
Head of Household Filing Status Schedule
New for 2015
California Earned Income Tax Credit (EITC)
• The CA EITC is "refundable," meaning that you will
receive a refund if the amount of the credit is greater than
the tax you owe
• This credit is available to California households with
adjusted gross income of less than $6,580 if there are no
qualifying children, less than $9,880 if there is one
qualifying child, or less than $13,870 if there are two or
more qualifying children
• Maximum credit amounts are $214 with no qualifying
children, $1428 with one qualifying child, $2358 with two
qualifying children, and $2653 with three or more
qualifying children
California Earned Income Tax Credit (EITC)
• There are important differences between the California
EITC and its federal counterpart
• The CA EITC requires earned income reported on a
W-2 form, such as wages, salaries, and tips, which
must be subject to California withholding
• Unlike the federal EITC, income from self-employment
cannot be used to qualify for the California credit
• You must file a state tax return, even if you do not owe
any tax or are not otherwise required to file
California Earned Income Tax Credit (EITC)
• You, your spouse, and any qualifying children must each
have a social security number issued by the Social Security
Administration that is valid for employment.
• You must file using the single, married/registered domestic
partner (RDP) filing jointly, or head of household filing
status
• The “married/RDP filing separately” status may not be
used.
• Your principal residence must be in California for more
than half the tax year
California Earned Income Tax Credit (EITC)
• FTB 3514, California Earned Income Tax Credit, must be
completed and filed with return to claim credit
• The credit amount, if you qualify, is on line 23 of the 540
2EZ, line 75 of the 540 return, line 82 of the 540NR (short)
and line 85 of the 540NR (Long)
• Taxpayers who would like to file returns to claim EITC are
being encouraged to use the Volunteer Program to prepare
those returns
• http://calbudgetcenter.org/resources/interactive-how-muchwill-working-families-and-individuals-benefit-fromcalifornias-new-eitc/
Let’s Look at TaxWise
In the State Information Section,
full year resident box, set CA as the
default state.
Required Field for
Direct Deposit
Use 999999 when
State ID number box
is blank.
SDI is often found in Box 14 of the
form W-2. Enter SDI amounts in
boxes 19 and 20.
Make
sure to
mark
who the
W-2
belongs
to
Check to
change
social
security
and Medicare
income
and tax
amounts.
Check to
change the
amount of
state
wages.
AND NOW FOR THE GOOD
NEWS!
Most California tax information flows automatically from
the federal return.
When does TaxWise need your
input? Let’s look at the most
frequently used screens.
Renter’s Credit
Forms may be added or taken away from the return using
this tool bar
Renter’s Credit
Every question on this form helps
the software correctly calculate the
Renter’s Credit.
The renter’s credit amount on the
worksheet may differ from the
amount on the return.
Why?
Child and Dependent Care
Do we
“Get the
red out?”
The state
form
requires
unearned
income
information
.
Why is
this
important?
Interest
Enter bank
information
on the
Interest
Statement for
correct flow
through in
TaxWise.
Did the software tax the correct
income for California? This form
tells the tale.
HOH Filing Status
Use form FTB 3532, Head of
Household Filing Status Schedule, to
determine if you qualify for Head of
Household filing status for California
for taxable year 2015.
Refunds
Give the California 8879 form to
the taxpayer to keep with their
records.
1
2
1. In order to create an e-file, there must be no
errors in red under the Errors Heading
2. The “create e-file” button is not available until
all the errors have been fixed.
Etc.
Voluntary Contributions
Where do I get help?
Volunteer Hotline – 1.800.522.5665
Operating hours – Monday thru Friday
(except state and fed holidays)
8 A.M. until 4:00 P.M.
Questions?