The Money Mustache Community
Learning, Sharing, and Teaching => Taxes => Topic started by: MonkeyJenga on April 15, 2019, 06:49:51 PM
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I have $3,000 in capital loss carryover - how do I allocate it between two state tax returns? It was incurred in prior years, while I lived in State #1 for the entire year. In 2018, I only lived in State #1 for 5 months, before moving to State #2 on June 1.
Option 1:
Assign it all to State #1, since that was my residency status when the capital losses occurred.
Option 2:
Assign it proportionally based on how much time I spent in each state, so 5/12 to State #1, and 7/12 to State #2.
Is one option better than the other? I still have more carryover for 2019, and I wouldn't file a non-resident NYS tax return just for that, so maybe proportional makes sense?