Military member sold GA rental property

[CL61]

We are non-residents of GA and sold our rental property (formerly our principal residence).  My husband is in the military and we qualify for the Military Home Exemption where we are exempt from capital gains tax on our Federal return.  

Does that apply to GA also?  If not, how do I report the actual capital gains amount from the sale of our rental property?

Thank you.

[JohnB5677]

Georgia residents who sell their primary residence will generally not be required to pay capital gains tax on the first $250,000 of profit generated by the sale. Spouses filing a joint return may exclude the first $500,000 gained from the sale of their home.

This complies with the Federal home-sale exemption.

[CL61]

Thanks but this is not our primary residence as we were transferred to Texas.  It has been a rental property the last couple of years.  

[DMarkM1]

It was your main home for the period you lived in it until you moved due to military service.  The military move allows you to suspend the residence test for up to 10 years.  Here is IRS Publication 523 for more information.  

[CL61]

Again thank you but that is not the issue.  I have the federal return prepared and all that is being reported for income for the sale of the rental property is the depreciation claimed previously.  He qualifies for the capital gains exclusion due to his military duty.

My question is for the State of Georgia.

How do I report the capital gains and depreciation on the Georgia return?  The info that transfers from the federal return is not correct due to the exclusion.  

For example:

Deprecation is $18000 for the period of time it was a rental

Capital gains on the sale of the home (excluding depreciation) was $40000

He is a nonresident, active duty Military.  It had been his primary home 2016 to June 2019 but converted to a rental property June 2019 to October 2021.

How do I/where do I report those amounts on the Georgia return?  Is there any military exclusion in Georgia?

Where in the State software do I report the gains and depreciation?  Are there any exclusions?

Thank you.

[DMarkM1]

As @JohnB5677 mentions GA complies with the federal exclusion for home sales.  Only the gains not excluded on the federal return will transfer to the GA return.  The GA return starts with the Federal Adjusted Gross Income which includes only the taxable gain on the sale of the home.  In your situation that would be the depreciation recapture (as you stated 18,000).