State tax filing

My understanding is that if my tax liability was say $500, a nonrefundable credit of $1000 would only result in bringing my tax liability to $0, instead of resulting in a refund of $500, right?

 

I don't think this form is calculating correctly in TurboTax. Please correct me if i'm wrong in the following example (numbers have been changed) of what I'm finding:

1. My tax liability prior to filling out 310 is $1500.

2. I had $2000 withheld for Arizona taxes.

3. I had solar installed in 2023 and qualified for a $1000 nonrefundable credit on my Arizona tax return.

4. Tax liability is then reduced from $1500 (1500-1000) to $500.

5. My refund should be 2000-500 = $1500, right?

Because that isn't happening when the 310 form is selected.