If you itemized deductions on your 2019 federal return, and you deducted your state income taxes, any state tax refund would be considered taxable income on your 2020 federal - but not on your state - return.
AZ tax refunds are reported on Form 1099-G. Be sure to enter your 1099-G in the proper section of TT. Once your 1099-G is available, you can obtain it online as described here:
https://azdor.gov/news-events-notices/news/form-1099-g-tax-information-available-online-taxpayers
**Answers are correct to the best of my ability but do not constitute tax or legal advice.
