Note: The best practice when entering multiple state tax information into TaxSlayer ProWeb is to start with the nonresident return(s) and finish with the resident return. This allows the income tax data from the nonresident state(s) to transfer to the resident return.
Arizona filers may claim a nonrefundable credit for individual income tax paid to another state or country. The income must be taxed by both jurisdictions. However, taxes paid to the following states are not eligible for this credit: Alaska, California, District of Columbia, Florida, Indiana, Nevada, New Hampshire, Oregon, South Dakota, Tennessee, Texas, Virginia, Washington, and Wyoming.
Before starting the Arizona return, prepare the nonresident return(s). Once all nonresident returns are finished, create the Arizona resident return and ProWeb will automatically calculate the credit based on the nonresident return information.
If the Arizona return is for a part-year resident, print a copy of the nonresident return(s) to refer to when entering the information for the credit.
To enter or adjust the credit for taxes paid to another state in the Arizona individual tax return in TaxSlayer ProWeb, from the Arizona Return menu select:
- Credits
- Credit for Taxes Paid to Another State - Form 309
Additional Information:
ProWeb: Which States does Arizona have a Reciprocal Agreement with?
Arizona State Tax Return Information
AZ DOR: Credit for Taxes Paid to Another State Instructions
While TaxSlayer Pro strives to make the information and links contained on this page as timely and accurate as possible, TaxSlayer Pro makes no promise or guarantee about the timeliness, accuracy or completeness of the contents of this page. The information contained on this page is for general information and is not intended to be tax advice. The user is also encouraged to review the underlying state resources and publications.