The rental property was never a personal residence because
you did not live in it for two of the five years preceding the date of sale.
The rental property would not be a capital asset so the gain would not be
capital gain. There would be no
exclusion of gain, either.
If you have a gain it would be ordinary, including
depreciation recapture, and would be taxable for Federal. With respect to your state tax, the gain on
the disposal of real estate is generally taxable by the state where the real
estate is located, not your resident state.
The state gain calculation may be different from the Federal calculation.
[Update]
Your resident state will tax all of your income, including
out-of-state gain. Usually the resident
state grants a tax credit for taxes paid to the non-resident state; but since
Texas has no income tax, this will not be the case.
