The question is there because AZ allows a 25% reduction of LTCG included in the federal AGI. However, that 25% reduction is only for capital assets purchased after 12/31/2011. The Arizona tax return has a worksheet to calculate the amount...but most broker 1099's won't supply the LTCG for assets purchase after 12/31/2011...so may require some hand calculations to arrive at the post-2011 LTCG.
