[kgarcia]

I've been a Calif. Resident all along, and I moved out of the state on March 3 to MA. Do I file a NR or PY resident return for CA? I realize I became a resident of MA on march 3, so do I file a PY return or a residence return to MA? The was only in CA for 62 days.

[ebaines]

I am assuming that when you moved to MA you no longer worked for a CA company (you didn't commute back and forth for your job) - correct? File a part-year return for CA and also a part-year resident return with MA. For each state you will have to report all income for the entire year, and calculate a preliminary tax as if you have to pay full taxes to both states. But then you multiply by a percentage representing the portion of your income earned while actually a resident of that state. It's all covered in the appropriate forms and instructions for part-year residents.

[kgarcia]

Ok, thanks. You are correct I no longer worked for the CA company. I'm confused though on why I would need to report all income to both states. I was under the impression I would report what was CA source to CA and for MA to MA. I presume also the percentage you are referring to is based on the number of days in each state?

[ebaines]

kgarcia - in the future when asking a follow-up question please do not use the "comment" feature of the web site, but rather the "answer box" instead.

You report all income:
(a) to determine the appropriate income tax bracket for you (which is based on your total income for the year), and
(b) so the state can see that it matches with the income you reported on your federal return.

The percentage used as the multiplier is the percentage of income earned while a resident, not days. So if you made more money prior to March 3 as a CA resident than you made for rest of the year as a MA resident you would end up being taxed more by CA than by MA, even though you lived there fewer days