Tax implications of moving to California
I'm looking at a move to the Bay area from Seattle. I have a home with about 300k equity that I've lived in for 6 years and about 500k in fully vested stock from a prior job. Considering that I need a decent chunk of these equities to put a down payment on a place in CA, how do I sell without incurring the extra capital gains taxes in CA? Do I need to sell both before moving? Just the stock? Does it matter at all that I got the stock as compensation for a job in Washington state? If I sell just before moving does it matter that the income was in the same calendar year as a move?
Stop being such a cheap ass and pay for an accountant. Next thing we know people will start coming here for medical diagnosis cause they don’t want to pay a doctor.
Use all the money to buy bit coins which you can then take over the border tax free. Problem solved!
Bay area sucks. Not worth living there.
So from what I remember , if you live less than 6 months in a year in Cali you are a part time resident and u only owe taxes in the place u sell ur stocks . More than 6 months and Cali wants a piece of ur stocks sold in other states
Thanks everyone. It sounds like I need to find a California CPA and plan to sell my stock by the 31st. And the stock is at its lowest level ever and will likely bounce back. Ugh. Would it be a reasonable plan to sell it now and buy it back instantly just to set a different cost basis for CA and set a tax event with the current (high %) appreciation in WA? I realize these questions are better fit for a CPA but my time is limited. I appreciate the advice!
If you do within 30 days it would be wash sale
You can’t sell and buy the same stock but u can sell stock X then buy etf Y that has a lot of stock x etc . Other ways r like sell apple buy it’s suppliers etc
If you plan to move next year, then plan to sell stocks this year to avoid ca taxes on it. But consult a CPA on it. Also you may want to take care the gains are long term.