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I have a TP that had earned income in Nevada. Earned income in CA as a nonresident and then moved to CA with more income. Can I file a oart year CA and include the Nonresident income or do I have to file both? A non resident CA and a PY CA? I cant seem to make heads or tails out of CA rules. Please help. 

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It would be helpful to know the times of the year when the TP lived in CA and when he lived in other states.  Your OP makes it seem like he was a resident of NV to start the year, but it does not say that explicitly.   I am going to assume he was domiciled in NV at the beginning of the year for some part, earned income in NV for that period of time, and then lived in NV but worked in CA for some period of time, and then moved his domicile to CA and finished the year there?   Is that correct?

Based on the above assumptions, he would file as a PY resident in CA and claim all the income he earned in CA for this year.   The NV income earned while domiciled in NV would not be taxable to CA.

FYI, CA taxes the worldwide income of all domiciled residents, and gives credit for taxes paid to other states.   If there is no tax paid to the other state (like in NV), there is no credit.  That is why documenting the period of time that he was not a domiciled resident in CA is so important.   If the TP was never domiciled in CA, but earned income in the state, he would file a NR and pay income tax on the CA source income.

Domicile is key for you to figure out what needs to be filed and what is taxable in CA.

Tom
Modesto, CA

 

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