good question. I am not exactly certain and you should consult a tax professional but my guess
is that your residency at the time of the purchase of an equity asset means nothing to what the state tax
will be when you do your taxes. I believe that the state capital gains tax rate you pay will be the rate for the state
for which you have submitted your regular state tax (income), which is typically where the individual either currently resides
or the state where the individuals' primary residence is located.
I am not certain about U.S. taxes though because I live abroad but I have a feeling that you would use the tax rate for the state in which you reside when you actually submit your state taxes for your regular income. Some states though (43 through 51) do not have capital gains tax in addition to the federal capital gains tax. If you move to a state with no capital gains tax, establish residence, and THEN sell the securities then in the following year submit your taxes for that state then I believe you CAN avoid the STATE capital gains taxes, though you will still have to pay federal capital gains taxes as everyone must.
Effective Long-term State and Combined Top Marginal Capital Gains Rate by State | |||
| Rank | State | Long-term State Capital Gains Rate, 2013 | Combined State and Federal Long-term Capital Gains Rate, 2013 |
| 1 | California | 13.3% | 33.0% |
| 2 | New York | 8.8% | 31.4% |
| 3 | Oregon | 9.9% | 31.0% |
| 4 | New Jersey | 9.0% | 30.4% |
| 5 | Vermont | 9.0% | 30.4% |
| 6 | District of Columbia | 9.0% | 30.4% |
| 7 | Maryland | 5.8% | 30.3% |
| 8 | Maine | 8.5% | 30.1% |
| 9 | Minnesota | 7.9% | 29.7% |
| 10 | North Carolina | 7.8% | 29.7% |
| 11 | Iowa | 9.0% | 29.6% |
| 12 | Idaho | 7.4% | 29.5% |
| 13 | Hawaii | 7.3% | 29.4% |
| 14 | Delaware | 6.8% | 29.1% |
| 15 | Nebraska | 6.8% | 29.1% |
| 16 | Connecticut | 6.7% | 29.0% |
| 17 | West Virginia | 6.5% | 28.9% |
| 18 | Ohio | 5.9% | 28.7% |
| 19 | Georgia | 6.0% | 28.6% |
| 20 | Kentucky | 6.0% | 28.6% |
| 21 | Missouri | 6.0% | 28.6% |
| 22 | Rhode Island | 6.0% | 28.6% |
| 23 | Virginia | 5.8% | 28.5% |
| 24 | Wisconsin | 5.4% | 28.3% |
| 25 | Massachusetts | 5.3% | 28.2% |
| 26 | Oklahoma | 5.3% | 28.2% |
| 27 | Illinois | 5.0% | 28.0% |
| 28 | Mississippi | 5.0% | 28.0% |
| 29 | Utah | 5.0% | 28.0% |
| 30 | Arkansas | 4.9% | 27.9% |
| 31 | Kansas | 4.9% | 27.9% |
| 32 | Louisiana | 6.0% | 27.9% |
| 33 | Montana | 4.9% | 27.9% |
| 34 | Colorado | 4.6% | 27.8% |
| 35 | Indiana | 3.4% | 27.8% |
| 36 | Arizona | 4.5% | 27.7% |
| 37 | Michigan | 4.3% | 27.7% |
| 38 | Alabama | 5.0% | 27.4% |
| 39 | South Carolina | 3.9% | 27.4% |
| 40 | Pennsylvania | 3.1% | 26.8% |
| 41 | North Dakota | 2.8% | 26.7% |
| 42 | New Mexico | 2.5% | 26.5% |
| 43 | Alaska | 0.0% | 23.8% |
| 44 | Florida | 0.0% | 23.8% |
| 45 | Nevada | 0.0% | 23.8% |
| 46 | New Hampshire | 0.0% | 23.8% |
| 47 | South Dakota | 0.0% | 23.8% |
| 48 | Tennessee | 0.0% | 23.8% |
| 49 | Texas | 0.0% | 23.8% |
| 50 | Washington | 0.0% | 23.8% |
| 51 | Wyoming | 0.0% | 23.8% |
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