How do I declare residency in my new state of WA?

[anandtechuser07]

I just moved from California to Washington state. I would like to declare residency here (no state tax here in WA!). An issue is that I still own a condo in California and am renting it out.

Do I need to do some paperwork to declare that I am a WA resident now? Is it a matter of getting a new apartment in WA and getting a driver's license.

Basically, when can I stop paying CA state tax? And what do I need to show my new company and/or the IRS, and when?

Thank you.

 

[bsobel]

The income from your CA residence is taxable by CA regardless of where you live.

 

[anandtechuser07]

Originally posted by: bsobel
The income from your CA residence is taxable by CA regardless of where you live.

I am actually losing some money from renting it out. My mortgage + HOA fees + property tax + property manager fee = X, but I am taking in only 0.8X in rent.

Would this rent money just be just like a losing investment to be deducted on itemised deductions on my 1040?

But back to my main question: when can I stop paying CA state tax?

 

[allisolm]

Here

 

[AccruedExpenditure]

1.) Step outside
2.) Declare "I'm a resident of WA" at the top of your lungs
3.)...
4.) Profit

 

[BoomerD]

http://www.ftb.ca.gov/individuals/FileRtn/index.shtml

"Part-Year residents must file a return if they have any income taxable by California (which includes income from all sources while a resident and California source income while a nonresident), and their income from all sources is more than the filing requirement amounts for residents.

http://www.ftb.ca.gov/forms/07_forms/07_540nrbk.pdf

 

[PrinceofWands]

Welcome to WA btw. If you're ever between Vancouver and Centralia lemme know, I'll buy you a beer.

 

[anandtechuser07]

Originally posted by: BoomerD
http://www.ftb.ca.gov/individuals/FileRtn/index.shtml

"Part-Year residents must file a return if they have any income taxable by California (which includes income from all sources while a resident and California source income while a nonresident), and their income from all sources is more than the filing requirement amounts for residents.

http://www.ftb.ca.gov/forms/07_forms/07_540nrbk.pdf

This is good information. I know I will probably have to file some form, but do I have to actually PAY state income tax is my question.

 

[BoomerD]

The info should be in that last link. It will depend on your actual income vs. your allowable deductions.

 

[anandtechuser07]

I think I really need to consult a professional for this. What kind of person should I look for? A CPA? A financial advisor at my online broker (ameritrade)? A lawyer? The cheaper the better, of course.

 

[BoomerD]

A good accountant (or CPA) should be able to answer your questions. It would certainly help to have one who's familiar with Kahleeforneeya tax law.

 

[anandtechuser07]

Awesome, thanks.

 

[AgaBoogaBoo]

Originally posted by: anandtechuser07

Originally posted by: bsobel
The income from your CA residence is taxable by CA regardless of where you live.

I am actually losing some money from renting it out. My mortgage + HOA fees + property tax + property manager fee = X, but I am taking in only 0.8X in rent.

Would this rent money just be just like a losing investment to be deducted on itemised deductions on my 1040?

But back to my main question: when can I stop paying CA state tax?

As long as you're renting it out for a standard market rate, that's ok, you're building equity and as long as you can cover the rest of the fees for a while, you might want to consider continuing this.