TomD8
Level 15

State tax filing

@miller4mi -- Here is the complication in your situation:  California and Arizona are "reverse-credit" states.  That means that your non-resident state of CA will give you a credit for the taxes paid to AZ on the portion of your income taxed by both.  ("Reverse-credit" because normally it's the home state that gives the credit.)

 

Therefore you should complete your home state AZ return before you do your non-resident CA return.

 

CA currently has reverse credit with Arizona (AZ), Guam (GU), Oregon (OR), and Virginia (VA).

 

See "California Nonresidents" in this reference:

https://www.ftb.ca.gov/forms/2020/2020-540-s-instructions.html

**Answers are correct to the best of my ability but do not constitute tax or legal advice.