Georgia Non Resident Long Term Capital Gains

[Buddy Holmes]

I am selling a home in Georgia as a non Resident.

I am told a 3% of Cap Gaines will be with held for the GA IRS.

I read that GA Capital Gaines tax is 6% and they seems to be no Long term/short term differential.

I understand that I will need to file a non-resident GA tax return for 2018 to get a refund of W/H or pay more tax, perhaps up to another 3%.

Is this understanding correct?

Then my South Carolina Tax folk will want their cut of the Capital Gain as well?

Cheers,

Buddy

[Brian Schmelzlen]

Hi @Buddy Holmes,

According to Georgia's Department of Revenue, you are correct that % of the sales price will be withheld.  However, they provide for an alternative calculation based upon the seller's gain.  To use that method, you must complete Form IT-AFF2.

South Carolina has a tax credit available for taxes paid to other states on income that is taxable in both states.  Therefore, you do not have to worry about double-taxation from the states.