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New Member
posted Jun 1, 2019 9:44:17 AM

I'm filing my State (MD) with Turbo Tax and it's counting all of my capital gains from a sale of a rental house from an out of state asset (TX). No State Tax in TX?

Can I back out the Capital Gains from these out of state rental sales (multiple).  How do I do it within Turbo Tax?  Doesn't seem right that I should be taxed in MD for income received from another state.

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1 Replies
Level 15
Jun 1, 2019 9:44:19 AM

Your resident return will tax all income regardless of where earned.

If you paid taxes to another state if will then give you a credit, however in TX there is no state income taxes.

If you had a loss on renting the property for the last few years, it would have also been deductible on the resident return.