I sold a Navada rental property (tax-free state) why is Turbo Tax telling me I having to pay state income tax in VA for the capital gain?

Forum|Forum|3 years ago
April 1, 2023
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I sold a Nevada rental property (tax free state) last year and completed Turbo Tax for Federal and State in VA. Why is Turbo Tax showing that I have to pay state income tax in my resident state (VA) for the capital gain of the sale of a Nevada rental property? I'm told that gain (from NV) is not taxable in VA because there is no state income tax in NV. Thank you.

SharonD007

TurboTax is showing the taxable gain from your sale of Nevada rental property on your VA tax return because you are a resident of VA. VA taxes all sources of income for VA residents. Please review the Residency Status article on the Virginia Tax website. Scroll to the bottom of the webpage.

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