TurboTax might be showing your NC income on your AZ return due to incorrect allocation of your income between the two states.
Here’s how to manually correct it:
Go to the Income tab and check your W-2: Ensure that the state wages in boxes 15-17 are correctly allocated between AZ and NC.
Manual Allocation: TurboTax allows you to manually allocate your income to each state. You can follow the steps here:
Entering Allocation in TurboTax:
- Step 1: Go to the state section of TurboTax.
- Step 2: Select the state you moved from (AZ) and the state you moved to (NC). and continue through the questions.
- Step 3: TurboTax will prompt you to allocate your income between the states. Use the methods above to determine the correct amounts.
- Step 4: Enter the allocated income for each state as prompted by TurboTax
For more details, you can check out this TurboTax support article.