Sale of second home in another state. I received an OR-18 from Oregon for the amount withheld at sale and need to report this on my CA return. Have downloaded both forms.

[DanielV01]

Filing your Federal and State returns will care for this.  First, you must make sure that the sale is reported correctly on the Federal return.  California (where you live) and Oregon (where the home was located) both tax the gain on the sale.  Because California and Oregon also have a reverse credit agreement, it will not be necessary to report to California the amount that the sale is taxed in Oregon.  All of the sale will be taxed first where you live, California.  Thus, you will prepare the California return first as if the home were located in California.

Then you will prepare the Oregon nonresident return.  Oregon will allow you to claim a credit for any tax you pay to California on the gain from the sale, and then, when the Oregon withholdings are reported, you will likely get a refund of most if not all of the Oregon withholdings from the sale.