Nominee recipient for 1099 MISC for California resident

[drichard989]

I am a Washington resident, I do not have any income myself that is subject to California tax. However I received a 1099-misc from an old address that is really for another person (my brother) (old address is parents house). Dealing with this on a fed level is pretty easy (issue 1099 to my brother and note that on fed return), however how do I do it for California. Do I have to file a 540nr with CA showing this? there is no withholding on the 1099 so was it even reported to CA? The tax would be paid either way however I would really rather not file a 540nr for myself if I don't have to

[Hal_Al]

Q. Do I have to file a 540nr with CA showing this?

A. No. CA starts with the federal AGI.  Since your Fed AGI does not include the 1099-Misc amount, you have no CA source income to report.

Q. Was it even reported to CA? 

A. Probably not.  Even if it was, you open a bigger can of worms trying to report it on form 540NR, than just explaining it later if you do get a CA tax inquiry (unlikely). 

[TomD8]

<<...really for another person (my brother)...>>

Whose SSN is on the 1099-MISC - yours or your brother's?  The IRS computers will look for a matching entry on the tax return of whoever's SSN is on the 1099-MISC.

[Hal_Al]

<<..."Nominee recipient for 1099 MISC"  "Dealing with this on a fed level is pretty easy (issue 1099 to my brother and note that on fed return)"...>>

How and where did you note that on the federal return?  Was the amount in box 3 or box 7?  How did this happen (a 1099-Misc for your brother came in your name and SS#)?

The chances of a problem with the CA tax people are minuscule compared to you chances of a problem with the federal IRS.