Mortgage Interest Credit
If you reduced your federal mortgage interest deduction by the amount of your mortgage interest credit (from federal Form 8396, Mortgage Interest Credit), increase your California itemized deductions by the same amount. Enter the amount of your federal mortgage interest credit as a positive number here.

Nontaxable Income Expenses
If, on federal Schedule A, you claim expenses related to producing income taxed under federal law but not taxed by California, enter the amount as a negative number here. You may claim expenses related to producing income taxed by California law but not taxed under federal law by entering the amount as a positive number here.

Investment Interest Expense
Your California deduction for investment interest expense may be different from your federal deduction. You must use form FTB 3526, Investment Interest Expense Deduction, to figure the amount to enter here.

Interest Expense Deduction
Your California interest expense deduction may be different from your federal deduction. A deduction is allowed for interest paid on any loan or financed indebtedness from a utility company to purchase energy efficient equipment and products for California residences. Enter as a positive number here.

Gambling Losses
California lottery losses are not deductible for California. Enter the amount of California lottery losses shown on federal Schedule A as a negative number here.

Federal Estate Tax
Federal estate tax paid on income in respect of a decedent is not deductible for California. Enter the amount of federal estate tax shown on federal Schedule A as a negative number here.

Generation Skipping Transfer Tax
Tax paid on generation skipping transfers is not deductible under California law. Enter the amount of expenses shown on federal Schedule A as a negative number here.

Charitable Contribution Carry-Over Deduction
If you are deducting a prior year charitable contribution carryover, and the California carry-over is larger than the federal carryover, enter the additional amount as a positive number here.

Interest on Loans From Utility Companies
Taxpayers are allowed a tax deduction for interest paid or incurred on a public utility company financed loan that is used to purchase and install energy efficient equipment or products, including zone-heating products for a qualified residence located in California. Federal law has no equivalent deduction. Enter the amount as a positive number here.

Medical Benefits Paid on Behalf of Registered Domestic Partners
Taxpayer benefits are extended to include the taxpayer's registered domestic partner and their dependent(s) for medical expenses and health insurance benefits that occur on or after January 1, 2002. Federal law does not include this provision.

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