State tax filing

North Carolina starts with federal adjusted gross income (AGI) so income from the sale from a rental property will be automatically included on the NC income tax form (Form D-400).

However, federal AGI includes your total income, so you will have to tell TurboTax the amount of Capital Gain and Rental/Royalty Income from the NC rental property. If you did not sell anything besides the rental property (such as stocks), the capital gain on the North Carolina return should equal federal capital gain.