Voluntary Plan for Disability Insurance (VPDI) is not deductible on the federal tax return (Schedule A (Form 1040) Itemized Deductions) per Rev. Rul. 81-194. Entering the VPDI amount on the screen titled Wages-W-2-Other Information will transfer the total amount to the Excess SDI/VPDI Withheld Worksheet. If there is excess withheld, it will flow to Line 74 of Form 540 or Line 84 of Form 540NR.
To enter or remove VPDI: