Client received a K-1 from a partnership. Pship is located in CO with CO based assets. Client is TX resident.
K-1 reported $100k 1231 gain. Within the correct time period, the client invested this money into a TX based OZ fund. Does he pay tax on the $100k in CO? CO is a conforming state, but haven't found/read if to qualify for the deferral, the OZ fund has to be in CO. Arkansas requires that in order to receive the deferral benefit, the OZ fund has to be in that state.