State Citation General Tax on Gain or Recapture —
( Provisions Addressing PTPs are in Italics)
California Cal. Revenue and Tax Code §25125 (a) Capital gains and losses from sales of real property located in this state are allocable to this state.
(b) Capital gains and losses from sales of tangible personal property are allocable to this state if:
(1) The property had a situs in this state at the time of the sale, or
(2) The taxpayer’s commercial domicile is in this state and the taxpayer is not taxable in the state in which the property had a situs.
(c) Except in the case of the sale of a partnership interest, capital gains and losses from sales of intangible personal property are allocable to this state if the taxpayer’s commercial domicile is in this state.
(d) Gain or loss on the sale of a partnership interest is allocable to this state in the ratio of the original cost of
partnership tangible property in the state to the original cost of partnership tangible property everywhere, determined at the time of the sale.  In the event that more than 50 percent of the value of partnership’s assets consist of intangibles, gain or loss from the sale of the partnership interest is allocated to this state in accordance with the sales factor of the partnership for its first full tax period immediately preceding the tax period of the partnership during which the partnership interest was sold.
Hawaii Hi. Rev. Stat. §235-26  Allocation of capital gains and losses.
(a)  Capital gains and losses from sales of real property located in this State are allocable to this State.
(b)  Capital gains and losses from sales of tangible personal property are allocable to this State if:
(1)  The property had a situs in this State at the time of the sale; or
(2)  The taxpayer’s commercial domicile is in this State and the taxpayer is not taxable in the state in which the property had a situs.
(c)  Except in the case of the sale of a partnership interest, capital gains and losses from sales of intangible personal property are allocable to this State if the taxpayer’s commercial domicile is in this State.
(d)  Gain or loss from the sale of a partnership interest is allocable to this State in the ratio of the original cost of partnership tangible property in the State to the original cost of partnership tangible property everywhere, determined at the time of the sale.  If more than fifty per cent of the value of a partnership’s assets consists of intangibles, gain or loss from the sale of the partnership interest shall be allocated to this State in accordance with the sales factor of the partnership for its first full tax period immediately preceding its tax period during which the partnership interest was sold. [L 1967, c 33, pt of §1; HRS §235-26; am L 1989, c 19, §1]
Idaho Id. Stat. Title 63, §3026A 63-3026A.Computing Idaho taxable income of part-year or nonresident individuals, trusts and estates.
(1) For nonresident individuals, trusts, or estates the term “Idaho taxable income” includes only those components of Idaho taxable income as computed for a resident which are derived from or related to sources within Idaho. This is to be computed without the deductions for either the standard deduction or itemized deductions or personal exemptions except as provided in subsection (4) of this section.
(2)  For part-year resident individuals, trusts or estates the term “Idaho taxable income” includes the total of:
(a) Idaho taxable income as computed for a resident for the portion of the tax period during which a taxpayer is domiciled in or is residing in Idaho, plus
(b) those components of Idaho taxable income which are derived from or related to sources within Idaho for that portion of the tax period during which a taxpayer is not domiciled in and is not residing in Idaho. This is to be computed without the deductions for either the standard deduction or itemized deductions or personal exemptions except as provided in subsection (4) of this section.
(3)  For the purposes of subsections (1) and (2) of this section:
(a)  Income shall be considered derived from or relating to sources within Idaho when such income is attributable to or resulting from:….
(vii) Gains or losses realized from the sale or other disposition of a partnership interest or stock in an S corporation to the extent of the partnership’s or S corporation’s Idaho apportionment factor in the taxable year immediately preceding the year of sale.  In the case of a nonresident individual who sells the nonresident’s interest in a publicly traded partnership defined in section 7704 of the Internal Revenue Code doing business in Idaho, the gains or losses shall be determined using the amount described in section 751 of the Internal Revenue Code, multiplied by the apportionment factor for the year in which the sale occurred.
Maine Me. Rev. Stat. Title 36, Part 8, Chapter 807 §5142.  3. Intangibles.  Income from intangible personal property including annuities, dividends, interest and gains from the disposition of intangible personal property, shall constitute income derived from sources within this State only to the extent that such income is from property employed in a business, trade, profession, or occupation carried on in this State.
3-A. Gain or loss on sale of partnership interest.  Notwithstanding subsection 3, the gain or loss on the sale of a partnership interest is sourced to this State in an amount equal to the gain or loss multiplied by the ratio obtained by dividing the original cost of partnership tangible property located in Maine by the original cost of partnership tangible property everywhere, determined at the time of the sale. Tangible property includes property owned or rented and is valued in accordance with section 5211, subsection 10. If more than 50% of the value of the partnership’s assets consist of intangible property, gain or loss from the sale of the partnership interest is sourced to this State in accordance with the sales factor of the partnership for its first full tax period immediately preceding the tax period of the partnership during which the partnership interest was sold. For purposes of this subsection, the sales factor of a partnership is determined in accordance with section 5211, subsections 14, 15 and 16-A. This subsection does not apply to the sale of a limited partner’s interest in an investment partnership where more than 80% of the value of the partnership’s total assets consists of intangible personal property held for investment, except that such property cannot include an interest in a partnership unless that partnership is itself an investment partnership.
If the apportionment provisions of this section do not fairly represent the extent of the partnership’s business activity in this State, the taxpayer may petition for, or the State Tax Assessor may require, in respect to all or any part of the partnership’s business activity the employment of any other method to effectuate an equitable apportionment to this State of the partner’s income from the sale of the partnership interest.
4. Deductions for losses.  Deductions with respect to capital losses, net long-term capital gains, and net operating losses shall be based solely on income, gains, losses and deductions derived from or connected with sources in this State, under regulations to be prescribed by the assessor but otherwise shall be determined in the same manner as the corresponding federal deductions.
Minnesota Minn. Stat. §290.17 290.17 GROSS INCOME, ALLOCATION TO STATE.
Subdivision 1. Scope of allocation rules. (a) The income of resident individuals is not subject
to allocation outside this state. The allocation rules apply to nonresident individuals, estates,
trusts, nonresident partners of partnerships, nonresident shareholders of corporations treated as
“S” corporations under section 290.9725, and all corporations not having such an election in
effect. If a partnership or corporation would not otherwise be subject to the allocation rules, but
conducts a trade or business that is part of a unitary business involving another legal entity that is
subject to the allocation rules, the partnership or corporation is subject to the allocation rules.
(b) Expenses, losses, and other deductions (referred to collectively in this paragraph as
“deductions”) must be allocated along with the item or class of gross income to which they are
definitely related for purposes of assignment under this section or apportionment under section
290.191, 290.20, or 290.36. Deductions definitely related to any item of gross income assigned
under subdivision 2, paragraph (e), are assigned to the taxpayer’s domicile.
(c) In the case of an individual who is a resident for only part of a taxable year, the individual’s
income, gains, losses, and deductions from the distributive share of a partnership, S corporation,
trust, or estate are not subject to allocation outside this state to the extent of the distributive share
multiplied by a ratio, the numerator of which is the number of days the individual was a resident of
this state during the tax year of the partnership, S corporation, trust, or estate, and the denominator
of which is the number of days in the taxable year of the partnership, S corporation, trust, or estate.

Subd. 2. Income not derived from conduct of a trade or business. The income of a
taxpayer subject to the allocation rules that is not derived from the conduct of a trade or business
must be assigned in accordance with paragraphs (a) to (f):
………..
(b) Income or gains from tangible property located in this state that is not employed in the business of the recipient of the income or gains must be assigned to this state.
(c) Income or gains from intangible personal property not employed in the business of the recipient of the income or gains must be assigned to this state if the recipient of the income or gains is a resident of this state or is a resident trust or estate.
Gain on the sale of a partnership interest is allocable to this state in the ratio of the original cost of partnership tangible property in this state to the original cost of partnership tangible property everywhere, determined at the time of the sale. If more than 50 percent of the value of the partnership’s assets consists of intangibles, gain or loss from the sale of the partnership interest is allocated to this state in accordance with the sales factor of the partnership for its first full tax period immediately preceding the tax period of the partnership during which the partnership interest was sold.
Montana Mt. Code Ann. §15-30-2101 15-30-2101. Definitions. For the purpose of this chapter, unless otherwise required by the context, the following definitions apply:….
(18) (a) “Montana source income” means:
….
(xvii) in the case of a nonresident who sells the nonresident’s interest in a publicly traded partnership doing business in Montana, the gain described in Internal Revenue Code, 26 U.S.C. 751, multiplied by the Montana apportionment factor. If the net gain or loss resulting from the use of the apportionment factor as provided in this subsection (18)(a)(xvii) does not fairly and equitably represent the nonresident taxpayer’s business activity interest, then the nonresident taxpayer may petition for, or the department may require with respect to any and all of the partnership interest, the employment of another method to effectuate an equitable allocation or apportionment of the nonresident’s income. This subsection (18)(a)(xvii) is intended to preserve the rights and privileges of a nonresident taxpayer and align those rights with taxpayers who are afforded the same rights under 15-1-601 and 15-31-312.
New York N.Y. Laws- TAX- Chapter 631 (b)(1)(A)(1) or

TSB-M-09(5)I

   §  631.  New  York  source  income  of  a  nonresident individual. (a) General.  The New York source income of a nonresident  individual  shall  be  the  sum  of  the  following:..
(b) Income and deductions from New York sources.
(1) Items  of  income,  gain,  loss  and  deduction  derived  from  or connected with New York sources shall be those items attributable to:
(A)  the  ownership  of  any  interest  in  real  or tangible personal
property in this state; or
(1) For purposes of this subparagraph, the term “real property located in this state” includes an interest in a partnership, limited  liability corporation,  S  corporation,  or non-publicly traded C corporation with one hundred or fewer shareholders (hereinafter the “entity”)  that  owns real  property  that  is located in New York and has a fair market value that equals or exceeds fifty percent of all the assets of the entity  on  the  date  of sale or exchange of the taxpayer’s interest in the entity. Only those assets that the entity owned for at least  two  years  before the  date  of  the  sale  or  exchange of the taxpayer’s interest in the entity are to be used in determining the fair market value  of  all  the assets  of  the entity on the date of sale or exchange. The gain or loss derived from New York sources from the taxpayer’s sale or exchange of an  interest in an  entity  that  is  subject  to  the  provisions  of  this subparagraph  is  the total gain or loss for federal income tax purposes from that sale or exchange multiplied by a fraction,  the  numerator  of   which  is the fair market value of the real property located in New York on the date of sale or exchange and the denominator of which is the fair market value of all the assets of the entity on  the  date  of  sale  or exchange.
North Dakota N.D. Cen. Code §57-38.1-17.1. Gain or loss on the sale of a partnership. Gain or loss on the sale of a partnership interest is allocable to this state in the ratio of the original cost of partnership tangible property in the state to the original cost of partnership tangible property everywhere, determined at the time of the sale. In the event that more than fifty percent of the value of the assets of the partnership consist of intangibles, gain or loss from the sale of the partnership interest is allocated to this state in accordance with the ratio of total North Dakota income to total income of the partnership for its first full tax period immediately preceding the tax period of the partnership during which the partnership interest was sold.
Oklahoma

 

 

 

 

 

 

 

 

 

 

 OK Stat. Title 68, Section 2358 Section 2358.  For all tax years beginning after December 31, 1981, taxable income and adjusted gross income shall be adjusted to arrive at Oklahoma taxable income and Oklahoma adjusted gross income as required by this section.

A.The taxable income of any taxpayer shall be adjusted to arrive at Oklahoma taxable income for corporations and Oklahoma adjusted gross income for individuals, as follows: …..…

4.  Items of the following nature shall be allocated as indicated.  Allowable deductions attributable to items separately allocable in subparagraphs a, b and c of this paragraph, whether or not such items of income were actually received, shall be allocated on the same basis as those items:
………
b.  Income from intangible personal property, such as interest, dividends, patent or copyright royalties, and gains or losses from sales of such property, shall be allocated in accordance with the domiciliary situs of the taxpayer, except that:
……….
(2)  for taxable years beginning after December 31, 2003, capital or ordinary gains or losses from the sale of an ownership interest in a publicly traded partnership, as defined by Section 7704(b) of the Internal Revenue Code of 1986, as amended, shall be allocated to this state in the ratio of the original cost of such partnership’s tangible property in this state to the original cost of such partnership’s tangible property everywhere, as determined at the time of the sale; if more than fifty percent (50%) of the value of the partnership’s assets consists of intangible assets, capital or ordinary gains or losses from the sale of an ownership interest in the partnership shall be allocated to this state in accordance with the sales factor of the partnership for its first full tax period immediately preceding its tax period during which the ownership interest in the partnership was sold; the provisions of this division shall only apply if the capital or ordinary gains or losses from the sale of an ownership interest in a partnership do not constitute qualifying gain receiving capital treatment as defined in subparagraph a of paragraph 2 of subsection F of this section,
Oregon Ore. Rev. Stat. §314.635 314.635 Allocation to this state of capital gains and losses.
(1) Capital gains and losses from sales of real property located in this state are allocable to this state.
(2) Capital gains and losses from sales of tangible personal property are allocable to this state if
(a) the property had a situs in this state at the time of the sale, or
(b) the taxpayer’s commercial domicile is in this state and the taxpayer is not taxable in the state in which the property had a situs.
(3) Except in the case of the sale of a partnership interest, capital gains and losses from sales of intangible personal property are allocable to this state if the taxpayer’s commercial domicile is in this state.
(4) Gain or loss from the sale of a partnership interest is allocable to this state in the ratio of the original cost of partnership tangible property in the state to the original cost of partnership tangible property everywhere, determined at the time of the sale. In the event that more than 50 percent of the value of a partnership’s assets consists of intangibles, gain or loss from the sale of the partnership interest shall be allocated to this state in accordance with the sales factor of the partnership for its first full tax year immediately preceding its tax year during which the partnership interest was sold.