Nonresident California Sales Tax on Real Estate Sale

[rlkpdx2]

Nonresident California Sales Tax on Real Estate Sale

I am looking to sell a property in California at a $160k gain.  I live in OREGON and never have lived in California. 

I  visit once a month for 7 days for the last two years I have owned the condo in San Diego. 

I understand that there is no capital gain tax rates in California and that rather the sales tax rate is applied

(1-13%). 

I am a nonresident of California but I'm not sure what the sales tax rate will be or and if I will be taxed on my AGI or just the profits from the real estate sale ($160K). 

Any help would be greatly appreciated! Thank you. 

[TomD8]

California taxes capital gains at its ordinary income tax rates, not its sales tax rate.  A capital gain from the sale of property located in California is taxable by California, as well as by your state of residence (your state of residence can tax ALL your income, regardless of its source.)

https://www.ftb.ca.gov/file/personal/income-types/capital-gains-and-losses.html

You must file a non-resident California tax return in addition to your home state Oregon return.  You'll be able to claim a credit on your CA return for the taxes paid to OR on the capital gain, so you won't be double-taxed.

[NCperson]

totally agree on approach but I think the sentence is inadvertantly reversed....

You must file a non-resident California tax return in addition to your home state Oregon return.  You'll be able to claim a credit on your OR return for the taxes paid to CA on the capital gain, so you won't be double-taxed.

[TomD8]

@NCperson —

CA and OR are “reverse credit” states. The “other state credit” is granted by the non- resident state, not by the resident state as is usually the case.