Andrew wrote:

- quote -

You will file as part-year residents with both states. Your
Oregon income will include all income received while you
were Oregon residents, plus any income from Oregon sources
that was received after you became Arizona residents. (For
example, any delayed compensation for services that were
performed in Oregon.) Your Arizona income will include all
of your income received after you became Arizona residents,
plus any Arizona source income received before you became
residents. (For example, income from real or tangible
personal property located in Arizona.)

Income from intangibles, such as interest, dividends, and
gain or loss on the sale or other disposition of intangible
assets, has its source at the place where you resided at the
time you earned the income. Thus if you owned stock in an
Oregon corporation, and you sold the stock after you became
Arizona residents, the gain or loss would be taxable only in
Arizona. It is not Oregon source income.

Unless you have Oregon source income received while residing
in AZ, or vice versa, there should be no "double taxed"
income. If there is such income, I believe Arizona and
Oregon have a "reverse" credit relationship whereby the
state where the income is sourced will allow credit for the
tax you pay to your state of residence on that income.

Katie in San Diego

The foregoing is intended for educational purposes only and
does not constitute legal or professional advice.

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I want to make sure I am doing my State taxes correctly.

We lived and worked in Oregon for 8 months.

Moved to Arizona during the 8th month and lived and worked
there the remainder of the year and not going back to
Oregon.

We complete both State forms but as a Non-resident for
Oregon although we lived there for 8 months or complete both
State forms as residents?

Would Arizona give credit for Oregon since we only lived in
Arizona for 5 months?

We lived in both States in August (Oregon for 1 week and
Arizona for 3 weeks).

Thanks!

Andrew

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