The credit for taxes paid to another state is automatically calculated in your account when you add a Nonresident return to your already created resident Arizona return if you pay taxes on the same income to both Arizona and another state.
Arizona may request a copy of the other state's tax return before processing the return. Please see the Arizona Department of Revenue website for more information.
If you are completing a Part-Year Resident return, you will need to manually enter this credit within your account. You will be asked to provide the adjusted gross income and the total tax shown on the other state return. You can obtain this information by accessing your return PDF from selecting "Summary/Print" from the sidebar navigation menu and proceed by clicking View/Print PDF. If you do not see this option within the sidebar menu, you will need to exit the state return.
DO NOT enter the amounts from your Form W-2 as these amounts may not be correct.
It's important to note that the following states DO NOT qualify for the Arizona credit for taxes paid to other states: Alaska, California, District of Columbia, Florida, Indiana, New Hampshire, Oregon, South Dakota, Tennessee, Texas, Virginia, Washington, and Wyoming.
Program Entry (manual)
If you need to manually enter this credit within your account, follow the steps below:
- State Section
- Arizona State Return
- Edit State Return
- Credits
- Credit for Taxes Paid to Another State - Form 309