In the month I lived in California (December 2020), I had to expenses for slight maintenance like painting and other refurbishments plus cleaning, utilities, etc. Including depreciation, net loss in that month was almost $3,000. I don’t understand why I wouldn’t want to claim that loss in 2020 to reduce my other taxable income (as an active participant, I can reduce my ordinary income). I don’t see the benefit of not claiming it was business purpose until 2021 and not claiming those losses in 2020. I should have a order myself better; I understand losses are not taxable and actually tax-beneficial. My only question was how to claim the losses for my state returns.
I was certainly a part-time resident of Arizona in 2020: I lived and had job there for 11 months. However, I also lived in California and also had a job there. I have to file part-year resident returns in both states.
I understand how to split up my W2 and 1099 income. But it’s not clear to me how to split up the losses from the rental property. It was from an AZ source but also occurred while I was a CA resident.
