tivins
New Member

I got a K-1 from a Trust based in Texas, would the Dividends & Capital gains need to be zeroed out on my California taxes or is California taxing out of state income?

 

State tax filing

I assume you are a resident of CA and non-resident of TX.

Your resident state will tax you on all the income regardless of where earned.

Then they give you a credit if you paid taxes to the other state.  With the other state being TX with not state income tax, then you get not credit for taxes paid to another state. 

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