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Should i pay AZ state tax on a rental property that has net loss (in the federal return)? I live in CA and the rental property is in AZ

 
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Should i pay AZ state tax on a rental property that has net loss (in the federal return)? I live in CA and the rental property is in AZ

If you calculate the Arizona return and it shows a loss and a tax due of zero, then you will not need to file a return for Arizona or pay state tax.  Arizona has some depreciation differences from Federal, so it is possible they may affect your return and result in you owing a tax, but it is not likely.

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