The Tax Cuts and Jobs Act of 2017 (TCJA) suspended the personal casualty and theft loss deduction, with an exception for personal casualty gains. Federal allows a deduction for personal casualty and theft loss incurred in a federally declared disaster. California does not conform. If there is a difference, how is it reported on the California return?

Complete an additional federal Form 4684, Casualties and Thefts, for the California return, using the California amounts and enter the difference between the federal and California amounts on:

A. Form 540, line 16.

B. Form 540 2EZ, line 12.

C. Schedule CA (540), Part I, line 1.

D. Schedule CA (540), Part II, line 15.