Capital Gains reporting when moving from one state to another

[oldbot86]

I moved from state A (no state income tax) to state B (has state income tax) and TT is asking me how much of the total capital gains (losses) to allocate to state B. I had more losses while living in state A and more gains while living in state B, let's say for a full year net of $12k. If I allocate whatever was earned while in state B, I'll come up with a larger total, $19k, than what was reported in the federal return, $12k. Is that the proper way to report? 

Since state A has no income tax, can I use any of the losses incurred while living there, to offset some of the capital gains earned while in state B? To summarize it:

State A capital gains (losses) = ($7k) loss

State B capital gains (losses) = $19k

Federal capital gains (losses) = $12k

State A has no income tax to use the $7k loss against, so I'm wondering if I can report the total federal amount of $12k to state B. 

[Mike9241]

generally, the proper reporting state would be the one where you were domiciled on the date the security was sold.

[TomD8]

I agree with @Mike9241.  See "Unearned income allocations" in this TurboTax help article:

https://ttlc.intuit.com/turbotax-support/en-us/help-article/state-taxes/allocate-split-income-part-y...

Allocations do not apply to your federal return.  Hence the federally taxable capital gain of $12K is correct.

[oldbot86]

Yes, I saw that and I agree. So the proper way to report it is have a larger capital gain while in state B, even though the full year gain was lower due to losses incurred in state A?

[TomD8]

Yes.