NY & CA Residency Audit Guide: Statutory Tests, Domicile, and the 183-Day Rule (2026) скачать в хорошем качестве

NY & CA Residency Audit Guide: Statutory Tests, Domicile, and the 183-Day Rule (2026)

We are performing a forensic deconstruction of the State Residency Conflict, focusing on the aggressive jurisdictional frameworks of New York (Section 605(b)(1)) and California (Section 17014). For high earners and mobile professionals, the definition of "home" is no longer a matter of personal preference—it is a high-stakes legal battleground where the burden of proof rests entirely on the taxpayer through the "Leave and Land" Doctrine. As The Finance Observer, I analyze the mechanical "Two-Track" system of New York, which triggers residency through either a subjective five-factor domicile audit or the objective 183-day Statutory Test. We break down the "Teddy Bear Test"—the forensic search for "items near and dear"—and the Gaied court decision that redefined the Permanent Place of Abode (PPA). We then cross the country to audit California's "Closest Connection" Test, revealing how the Franchise Tax Board (FTB) uses cell tower data, credit card logs, and doorman interviews to determine if your presence is "temporary or transitory." Finally, we execute the Schedule CA and IT-203-B allocation protocols to ensure your mid-year move doesn't result in double-taxation. FORENSIC BREAKDOWN: [00:33] The 14.8% Reality: Why residency is a multi-million dollar tax decision. [01:37] Source vs. Residence: The "Holy Grail" of state tax agency revenue. [02:16] Domicile Defined: Establishing your one true legal and emotional anchor. [03:05] Leave and Land Doctrine: The "Clear and Convincing Evidence" burden of proof. [03:32] NY Two-Track System: Navigating Tax Law Section 605(b)(1). [04:01] The 5-Factor Domicile Checklist: Home, Business, Time, Items, and Family. [04:27] The Teddy Bear Test: Why your art collection and dog dictate your tax home. [05:03] Statutory Residency: The 183-day rule and the PPA trap. [05:32] Gaied v. Commissioner: Why "Residential Interest" is the key to a PPA. [06:17] California Section 17014: Defining "Temporary or Transitory" purposes. [06:47] The Bragg Test: Auditing the Closest Connection checklist. [07:33] Form 540NR & IT-203-B: Drawing the line in the sand for part-year residents. [08:04] Stock Option Allocation: The forensic reach-back for vested equity. [08:42] The Modern Audit: Using cell tower data and credit card logs as evidence. [09:42] The Future of Tax Homes: Adapting residency law to the remote work era. THE LAW (Citations): NY Tax Law § 605(b)(1): Definition of resident individual. CA Revenue & Taxation Code § 17014: Definition of resident for California purposes. Gaied v. New York State Tax Appeals Tribunal: Establishing "Residential Interest" for PPA. Bragg v. Franchise Tax Board: The foundational case for California’s connection test. California Form 540NR: Nonresident or Part-Year Resident Income Tax Return. NY Form IT-203-B: Nonresident and Part-Year Resident Allocation Schedule. Leave and Land Doctrine: Common law principle requiring proof of newly established domicile. DISCLAIMER: I am The Finance Observer. This content is for educational purposes only. I am not a CPA, Attorney, or Enrolled Agent. This video breaks down State Tax Law and Residency statutes for informational purposes. Residency audits are invasive and data-heavy; the burden of proof is 100% on the taxpayer. Always consult a qualified tax professional before changing your domicile.