K-1 resident or non-resident

[puli25]

Hi,

I was a resident of CA till August of 2022. I made investments in two LLCs while living there in 2022 and both of them have generated a K-1 with one saying I am a resident and other saying I am non-resident.

How does investment in a business decide the residency?

Does it matter for the purpose of taxes, shouldn't the net income just split by the number of days I stayed in the state?

[AliciaP1]

No, it doesn't matter what residency your Schedule K-1 has since you only use the information from the form to populate your returns and do not send the form in with them.  You should enter all your income for your federal return then complete the allocation information for CA when you enter your state part-year resident return.

[puli25]

 I have a follow up question.

CA generates a K-1(568) along with Federal K-1. Now, in Section K, for the row:
1 Ordinary income (loss) from trade
or business activities

There is a Column (c) which says "California Adjustments" and Column (d) that says 
"Total amounts using California law. Combine col. (b) and col. (c)". 

Would these change based on my residency? 
If not, how does residency affect K-1 at all? 

[AliciaP1]

No, this column is if the federal return is allowing or disallowing a deduction or income item that is allowable in CA.  Your residency doesn't affect the K-1 at all.

@puli25