Hal_Al
Level 15

Investors & landlords

The entire loss goes on your state 1 return. But 1/6 of it (-1461) also goes on your state 2 return.

 

The general rule is you report all you income in your resident state, even the income earned in other states.  If there is any double taxation, your resident state gives you a credit.  

 

You file as a part year resident for both states. You report the entire loss on the state 1 return because the last 2 month was "earned" there, as well as the first 10 months.  You report the 2 month loss on the state 2 return because the loss was received while you were a resident. 

 

The mechanics of how you do all that depends on what the 2 states are.  In general, prepare state 1 first.

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