California Revenue and Taxation Code

§ 17955

RTC § 17955 Effective Jan 1, 2002Div. 2 · Part 10 · Ch. 11

Statute text

(a)For purposes of computing “taxable income of a nonresident or part-year resident” under paragraph (1) of subdivision (i) of Section 17041, notwithstanding Sections 17951, 17952, and 17953, gross income of a nonresident (as defined in Section 17015) from sources within this state shall not include dividends, interest, or gains and losses from qualifying investment securities if any of the following apply:

(1)In the case of an individual, with respect to the qualifying investment securities, the taxpayer’s only contact with this state is through a broker, dealer, or investment adviser located in this state.

(2)In the case of a partner’s distributive share of income from qualifying investment securities, the partnership qualifies as an investment partnership, whether or not the partnership has a usual place of business located in this state.

…

Legislative history

Amended by Stats. 2001, Ch. 920, Sec. 24. Effective January 1, 2002.