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June 1, 2019
Solved

Are non-residents of California with retirement income from the State through Cal-Pers with no California Income tax due required to file a California return?

  • June 1, 2019
  • 2 replies
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No income tax is due from non-residents of California on retirement income sourced in California since Federal Law prohibits states from taxing such income.

Best answer by DanO

NO, you correct that the federal law prohibits ANY state form taxing pension income of non-residents, even if the pension was earned in the state.

Before the Source Tax Law that took effect on January 10, 1996, California was one of the states that had maintained a source tax on pension earned in the state.

2 replies

DanOAnswer
June 1, 2019

NO, you correct that the federal law prohibits ANY state form taxing pension income of non-residents, even if the pension was earned in the state.

Before the Source Tax Law that took effect on January 10, 1996, California was one of the states that had maintained a source tax on pension earned in the state.

December 14, 2019

Can California tax your pers retirement income if you are a non-resident but have California rental income?

DoninGA
Employee
December 14, 2019

@Cmbaseballmom wrote:

Can California tax your pers retirement income if you are a non-resident but have California rental income?


You do Not enter your pension income on a California nonresident tax return.  If the rental income is your only CA sourced income then that is what you report on the CA nonresident tax return.