I have a question on how RSUs vest for non-residents who become temporary residents of California.
Let’s consider this example:
- December 2019: Not a resident of California, granted equity of 6000 shares, vesting monthly over 5 years (i.e., 100 share per month for 5 years)
- January 2020: Moves to California, 100 shares vest this month
- February 2020 - August 2020: 100 shares per month vest
- September 2020: 100 shares vest, moves out of California day after vesting
So to summarize:
- Not a resident of California at grant date
- Resident of California for the first 9 monthly equity vests
- Not a resident of California for the subsequent 4 years and 3 months of monthly vesting
Would I have to pay any taxes on any of the equity that is vested after I move out of California, considering it’s monthly vesting?
