I have a home in KY in which I have lived for a long time. Recently I went to stay in NC with the idea of possibly relocating. I am staying at a friend's place. Having been here for a few weeks I am leaning towards possibly moving here permanently and perhaps buying property. I would later sell my house in KY.
I am retired and my income comes from investments, not employment or real estate. I do have some investment in KY muni bonds, so ideally I would switch over to NC muni bonds at the point when I establish residency.
My confusion is what constitutes 'residency' in regards to federal and state taxes. If it would make my life simpler then I would choose to establish residency on January 1, assuming I would then be a full-time resident of NC and not KY anymore, thus possibly avoiding filing two part-year resident returns (one each for NC and KY).
It looks like for NC, all I need is a utility bill in my name in order to get a NC driver's license. So for tax purposes would my residency be established at the point where I forfeit my KY license and obtain a NC license?
Any help or guidance greatly appreciated, Dee