Oregon Form 40N Capital gains taxable to Oregon

[bsharples151]

My daughter lived with us in Georgia from January - March 2019 and then in North Carolina April - December 2019 so she is a part time resident in both states. She worked for a company based in Oregon on 2019 for which she received a 1099-MISC. She has investments for which she received 1099-DIVs. After entering the information for the 1099-DIVs we checked over her non-resident Oregon return and form 40N: OR came up. On line 9, Federal column (F) it shows $157.00. We are being asked to enter in Oregon column (S) to enter the dividend income taxable to Oregon. On line 13, Federal column (F) it shows $140.00. We are being asked to enter in Oregon column (S) to enter the capital gains taxable to Oregon. Is any of this is taxable to Oregon?

[fanfare · Accepted solution]

Nonresidents. Oregon taxes only your income from
Oregon sources. To determine your Oregon-source
income, see “What does income from Oregon sources
include?” in the “General information” section.

Capital gain or loss. Determine the amount of
gain or loss and capital gain distributions from
Oregon sources for the part of the year you were a nonresident.
Add the amount of your capital gains received
and losses incurred during the part of the year you
were an Oregon resident. Limit losses to $3,000 ($1,500
if married filing separately).

Add any dividend income included on line 9F that you received during
the part of the year you were an Oregon resident.

[bsharples151]

My daughter was never a resident of Oregon. She is a professional dancer and toured western states with a dance company based in Oregon. We are filing a non-resident return for Oregon and part-time resident returns for Georgia and North Carolina. My guess is that none of the capital gains or dividends are taxable to Oregon but are taxable to Georgia and North Caroline, pro-rated by the amount of time each state was her official residence, so 1/4 to Georgia and 3/4 to North Carolina. Is this correct?

[fanfare · Accepted solution]

Since she had Oregon sourced income (1099-MISC) that is OR taxable.

She will get a credit for tax paid to non-resident state.

Since she was never a resident, the interest dividends and capital gains can be entered as zero on OR-40-N.