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If you have rental income in three different states, then you may be required to file three different state tax returns. If a property generates a profit, then you will need to report that profit on the state return for the property's location. If that is your only income in that state, then the state's filing requirements will have to be considered in order to know whether a return is required.
If a property does not generate a profit, then a state tax return for that property would not be required because you would be reporting negative income.
All rental properties will be reported on your Federal return and Schedule E will show a breakdown for each property to see if there is a profit or a loss.
Please reply with more information if this is not what you wanted to ask.
If you have rental income in three different states, then you may be required to file three different state tax returns. If a property generates a profit, then you will need to report that profit on the state return for the property's location. If that is your only income in that state, then the state's filing requirements will have to be considered in order to know whether a return is required.
If a property does not generate a profit, then a state tax return for that property would not be required because you would be reporting negative income.
All rental properties will be reported on your Federal return and Schedule E will show a breakdown for each property to see if there is a profit or a loss.
Please reply with more information if this is not what you wanted to ask.
State filing requirements vary:
I have to file in two states. One (VA) only requires that I file if I show a profit. The other (VT) requires me to file just for receiving rent (gross income), whether I show a profit or not.
You'll have to check filing requirements for each state. For example, Hawaii requires you to file because you have to pay a state General Excise Tax (GET) on the "gross" rental income received. Doesn't matter if you make a profit or not.
The properties are reported in three states with zero gains, but the states require a filing. However, it works for the state of residency CA, and MA, but the property for NC doesn't report the paperwork where it shows income/expenses. Basically, NC knows i am reporting a 0 income (loss of 3k), but none of the documentation shows on the NC report. That is not an issue with MA, where it shows all records for that property and I just had to adjust that it was not MA income regarding the income for the other 2 states.
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