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Level 3
February 4, 2022
Solved

Capital Gains Split Between 2 States

  • February 4, 2022
  • 1 reply
  • 27 views

My total Capital Gains for all of 2021 was $1111.

I also lived in Virginia and Washington DC in 2021 but one W2 for all year.

On the Virginia 760PY section A column A the amounts show correctly.

Total Capital Gains $1111.      Virginia $463.      Wash DC $648

 

But when I complete the Wash DC state form on their D40 Capital Gains shows $1111.

It should have $648. but I don't know how to change that or what form.

    Best answer by ErnieS0

    DC does not split capital gains for part-year residents. All income earned while not a DC resident should be totaled and subtracted from the DC return.

     

    In the DC section of TurboTax, go to the screen Subtractions Federal Income, Part-year and enter Income Received While Residing Outside DC.

    1 reply

    ErnieS0Answer
    Level 15
    February 5, 2022

    DC does not split capital gains for part-year residents. All income earned while not a DC resident should be totaled and subtracted from the DC return.

     

    In the DC section of TurboTax, go to the screen Subtractions Federal Income, Part-year and enter Income Received While Residing Outside DC.

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    habu72Author
    Level 3
    February 6, 2022

    I had a lower value in that field, but even correcting it for VA income.

    Now D-40 has the correct income for VA on line 8 (Part year residents income) and correct for line 16 (DC Adjusted income).

     

    But on the DC D-40 form Capital Gain or Loss line C still has the total 2021 value of $1111.

    DC should be $648. but I cannot update this field on Turbo Tax Deluxe.