My short term gains are being reported as long term gains in Arizona portion

[als2020]

Hello,

on my 1099-B, all my gains/losses are showing as "Short Term", and it shows that way in the Federal portion of TT, but when starting Arizona tax, it shows as "Long Term". Any idea why AZ is showing them as Long Term? 

[ThomasM125]

I'm not sure why they are listed as long term, but there isn't any special tax treatment for capital gains in Arizona like there is on federal tax returns. On a federal tax return short term capital gains are taxed at ordinary tax rates, while long term capital gain are usually taxed at capital gain tax rates. On the Arizona tax return, all capital gains are taxed at ordinary tax rates, so it wouldn't matter if they were long-term or short-term.

[als2020]

Thank you! I actually overwrote it from Long term to Short term in form 140PY, and taxes did not change.