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rickchungsiu
Returning Member

Rental income and state taxes

My resident state is Washington.  I have rental properties in Utah and I am a limited partner for rentals in Ohio.  My rentals in Utah have a net positive gain while my property in Ohio has a big loss.  When filing my Federal taxes the losses offset my gains and it becomes zero gain for rentals.  When filing my Utah State taxes do I have to put in the positive value from my Utah units or can I take my federal number and enter zero?

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1 Reply
RobertB4444
Expert Alumni

Rental income and state taxes

Utah is entitled to a cut from earnings from Utah sources.  Unfortunately, in this case, that is a positive amount and you owe Utah taxes on this.  You may want to file an Ohio return as well in order o preserve the loss for carryforward there.  Then, when filing your Washington return, you will take a credit for taxes paid to other states for the amount paid to Utah.  Make sure to do the non-resident state returns first before doing your resident state return.

 

@rickchungsiu 

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