401K distributions and part year residency I need help!
I worked and lived in Indiana all of my life up until Feb of 2013. I took a job in California, and began the process of relocating.
I began work at my new employer on Feb. 11, 2013, while staying in temporary housing provided by them for 30 days. My wife and son were tasked with packing and finalizing the move in Indiana while I was in California. Prior to my 30 day housing ending, I withdrew my 401K account, and had it deposited in my Indiana bank account. This happened prior to me having an established California residency, but after I had begun to work in California.
I am filing returns for both California and Indiana based on part-year residency, but my question is am I responsible for paying taxes to both Indiana and California on the full amount of the distribution, or would it be pro-rated to both states, or to only 1 state entirely?
I could use some help quickly.
Thank you for your time |