Hello TurboTax Community,
Last year, I sold some RSUs and incurred a short-term capital gain, which has been correctly reported on my federal tax return. However, when I review my AZ state return, this gain appears to be categorized as a long-term capital gain instead of short-term.
I want to ensure my state taxes are filed accurately. Here are the specifics:
The RSUs were sold less than a year from the vest date.
My federal tax return (Schedule D + Form 8949 Part 1) correctly identifies these gains as short-term as entered in Wages and Income under Federal section.
In contrast, my Arizona state return seems to classify these gains as long-term (box 35).
Could you please help me understand this and advise on how to correct this discrepancy in my AZ state tax return?
Thank you in advance for your assistance!
