how to save a tax from capital gains legally?

Discussion in 'Taxes and Accounting' started by trend2009, Jan 18, 2010.

  1. Banjo

    Banjo

    #41     Jan 24, 2010
  2. We are in identical situations. I am in CA as well. It would save an enormous amount on taxes if I could claim WA residency.

    I haven't been able to find a clear cut answer, and I imagine they wouldn't want to legally allow this.

    Have you found anything else on the time limits of both CA and WA?
     
    #42     Jan 24, 2010
  3. even if you can gain wa residency status that does not mean ca will release you from tax liability if you live there most of the year. you have to know what the ca rules are.
     
    #43     Jan 24, 2010
  4. For CA, I found the following:

    - namely, you are a CA resident if your stay in CA is for other than temporary or transitory.

    - you will be presumed to be a CA resident for any tax year in which you spend more than 9 months in this state.
     
    #44     Jan 24, 2010
  5. You cannot become a resident of another state, such as Nevada, and expect to drop residency from CA, while you are still under the legal definition of CA residency.

    For example, if someone works in L.A., and becomes a resident of a state like South Dakota (such as the "fulltime RV people"), CA will likely still consider you a resident for tax purposes

    CA will get their taxes from such a person, or that person will be considered to be committing fraud.
     
    #45     Jan 24, 2010