1252810
Should I file CA state tax return if I never worked in CA in 2019, but I sold ESPP stock from previous employer (I used to work in CA before 2017). Due to the sale of ESPP, I received a W2 from prior employer showing CA wages.
You'll need to sign in or create an account to connect with an expert.
Yes, you should file a CA non-resident tax return. Include only the ordinary income amount recognized from the sale of your ESPP stock. Do not include the capital gain.
I think I found the answer to my own question on FTB CA website - quote:
"If you exercise an option under an employee stock purchase plan while a California resident or nonresident and later sell the stock in a qualifying or disqualifying disposition while a nonresident, California will tax the resulting ordinary income to the extent you performed services in California from the grant date to the exercise date. Any capital gain has a source in your state of residence at the time you sold the stock."
So this means I should file a CA income tax return as non-resident.
Yes, you should file a CA non-resident tax return. Include only the ordinary income amount recognized from the sale of your ESPP stock. Do not include the capital gain.
Still have questions?
Questions are answered within a few hours on average.
Post a Question*Must create login to post
Ask questions and learn more about your taxes and finances.
user17524531726
Level 1
stellarun21
Level 3
sethhunter457
New Member
MikeH36
New Member
whataboutzepa
Level 2