| General Information |
You cannot use CalFile if you:
- Are filing a 2007 return on behalf of a person who died.
- Are requesting a military- or disaster-related extension.
- Need to claim a disaster loss.
- Had business or farming income or loss.
- Had capital gains or losses.
- Have income or loss from rental real estate, royalties, partnerships,
S corporations, estates, trusts, REMICs, etc. (federal Schedule
E)
|
| Sources of Income |
Wages
You cannot use CalFile if:
- You have a substitute or corrected Form W-2, Wage & Tax
Statement.
- Your spouse/registered domestic partner (RDP) was active duty military, had military wages in
2007, and was domiciled in a community property state other than
California during 2007.
- Your wages or other income was exempted from federal tax by
U.S. treaties.
Interest and Dividends
You cannot use CalFile if:
- You reported interest from the following sources on your federal
return:
- Municipal bonds issued from a city, county, or other local
government in a state other than California.
- State bonds from a state other than California.
- The amount of California tax-exempt interest dividends you received
from mutual funds is less than the amount of federal
tax-exempt interest dividends.
Alimony received
You cannot use CalFile if you are a nonresident alien and received
alimony not included in your federal income.
IRAs, Pensions, or Annuities
You cannot use CalFile if:
- You received an early distribution from an IRA or other qualified
retirement plan and owe the tax on early distribution.
- You have Roth IRA conversions or distributions (federal Form
8606).
|
Adjustments for
Federal AGI |
Alimony paid You cannot use CalFile if you are a nonresident alien and did
not deduct alimony on your federal return.
Student loan interest deduction
You cannot use CalFile if you are the spouse/RDP of a non-California-domiciled
military taxpayer who resides in a community property state.
|
| California Adjustments to Income |
Nontaxable
interest and ordinary dividends
You cannot use CalFile if the amount of California tax-exempt
income is less than the amount exempt from federal taxes.
Fully and partially taxable
IRA distributions, pensions, and annuities
You cannot use CalFile if:
- You are required to report additional tax on an early distribution
from a qualified retirement plan.
- You have Roth IRA or Coverdell ESA conversions or distributions.
- You need to restate your California IRA basis.
- You received a lump-sum distribution from a profit sharing or
retirement plan and chose the 10-year averaging method.
|
| Itemized Deductions |
Standard
or Itemized Deductions
You cannot use CalFile if you need to adjust your federal itemized
miscellaneous deductions by any of the following:
- Adoption-Related Expenses.
- Mortgage Interest Credit (federal Form 8396).
- Nontaxable Income Expenses related to producing income taxed
under federal law but not taxed by California.
- Employee Business Expenses (federal Form 2106 or 2106-EZ).
- Investment Interest Expense Deduction (federal Form 4952 and
FTB 3526).
- Interest Expense Deduction for a loan or financed indebtedness
from a utility company to purchase energy efficient equipment
and products for California residences.
- Federal Estate Tax.
- Generation Skipping Transfer Tax.
- State Legislator's Travel Expenses.
- Charitable Qualified Contributions.
- Charitable Contribution Carryover Deduction.
- Health Savings Account (HSA) Distributions.
- Carryover Deduction of Appreciated Stock Contributed to a Private
Foundation prior to 1/1/2002.
- Interest on loans from utility companies.
- Medical Benefits on Behalf of a Domestic Partner.
- Claim of right.
|
| Payments |
Estimated
Tax Payments
You cannot use CalFile if you and your spouse/RDP paid joint estimated
tax, but are now filing separate tax returns.
|
| Exemptions & Credits |
Child
and Dependent Care Expenses Credit
You cannot use CalFile to claim this credit if:
- You received dependent care benefits from an employer.
- You need to claim credit for prior year expenses.
|
Qualification Exceptions