I have a question related to investment property tax deductions and filing taxes. I have a rental property in Colorado that provides income. However, I live in another state. Do I need to file a Colorado return to address investment property tax issues?
Your investment property income and deductions would be Colorado source income and deductions. You must file a nonresident Colorado return if both of these apply:
- You’re required to file a federal return.
- You have both of these even though you’re not a Colorado resident:
- Income from a Colorado source
- A current-year Colorado income tax liability
Each state has its own filing requirements for nonresidents. Check the specific rules of the state in your situation.
What are at-risk limits, and how can they help you reduce your reported income? Learn more about at-risk rules and get tax answers at H&R Block.
How much investment income can children earn before paying taxes? Learn more from the tax experts at H&R Block.
Learn more about employee stock options and get tax answers at H&R Block.
Learn more on how taxes impact your employee stock purchase plan from the tax experts at H&R Block.