I'm trying to understand if in California you are limited to the same $10k federal limit on property tax deduction.

The only CA government info I can find is here

Line 5e The federal deduction for state and local tax is limited to $10,000 ($5,000 for married filing separate) for the aggregate of state and local income taxes and property taxes. California does not conform. If your deduction was limited under federal law, enter an adjustment on line 5e, column C for the amount over the federal limit.

"California does not conform" makes it sound like there is no limit

But the thread here seems to be unsure

2 Answers 2


California doesn't conform and there's no limit. See here on the FTB FAQ:

State and local taxes

  • Federal law limits your state and local tax (SALT) deduction to $10,000 if single or married filing jointly, and $5,000 if married filing separately.
  • California does not allow a deduction of state and local income taxes on your state return.
  • California does allow deductions for your real estate tax and vehicle license fees.

All property taxes are deductible from California income, and you add the adjustment on Schedule CA line 5e Column C, as the instructions say.

  • Hey! thanks for the answer, I'm confused by the second part of your answer "California doesn't allow deduction for Federal, State, or foreign income taxes though." Can you try and explain this part a different way? Jun 24, 2022 at 18:37
  • @DanielJacobson not sure what's confusing. You cannot deduct state taxes from CA income.
    – littleadv
    Jun 24, 2022 at 19:18
  • Just removed it if it's too confusing for you
    – littleadv
    Jun 24, 2022 at 19:19
  • Thanks so just to confirm if Im paying 12k in property taxes. I can deduct 12k from CA income and 10k from Federal Income Jun 24, 2022 at 20:07
  • @DanielJacobson yes.
    – littleadv
    Jun 24, 2022 at 20:40

As littleadv's answer said, there is no $10,000 limit for real estate taxes on California itemized deductions. To see this, see for example the 2021 form 540 Schedule CA Part II.

The net result for line 5e is (line 5e column A - line 5e column B + line 5e column C). Line 5e column C = (line 5d column A - line 5e column A), so by adding that to line 5e column A, you get line 5d column A (the pre-limit SALT amount). Then you subtract line 5e column B, which is the state and local income tax part since California doesn't allow a deduction for that. So the net result always equals line 5b column A (real estate taxes) + line 5c column A (personal property taxes), with no limit.

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