309: Credit for Taxes Paid to Another State or Country (2024)
Arizona · Arizona DOR · Used for tax years 2024
Arizona Form 309 calculates the credit for income taxes paid to another state or country on income also taxed by Arizona. It reports the income taxed by both jurisdictions, the taxes paid, and the allowable credit, and is included with Form 140, 140NR, 140PY, or 140X.
Who files this form
Use 2024 Arizona Form 309 to claim a credit for taxes paid to another state or country with Arizona Form 140, 140NR, 140PY, or 140X.
Include Form 309 with your return. File a separate Form 309 for each state or country for which you claim a credit.
What you'll need
Have the following information available to complete Form 309:
- Your Arizona return, including your name, Social Security number, income amounts, and Arizona tax liability after other credits. For a joint return, include your spouse’s name and Social Security number.
- Income and tax information for the other state or country, including the income taxed by both places and the income tax paid there.
- Arizona Form 301, where you report the allowable credit.
If you must complete the Schedule of Income Allocation for dual residents, you will also need the amounts reported on your 2024 federal return, Arizona return, and return filed with your other state of residence.
How to file
Include Form 309 with your Arizona Form 140, 140NR, 140PY, or 140X.
- Enter the other state’s two-letter abbreviation or the other country’s name.
- Complete Part 1 by listing each income item separately and calculating the income subject to tax in both places.
- Complete Part 2 to calculate the credit. The form directs you to read the specific line instructions before completing this part.
- Enter the smaller of line 11 or line 16 on line 17. Also enter that amount on Arizona Form 301, Part 1, line 2, column (a).
File a separate Form 309 for each state or country. If claiming credits for more than one state or country, the form directs you to consult the instructions.
Common mistakes
- Do not include income items reported on your small business income tax return in Part 1, line 1.
- List each income item separately.
- If the total on Part 1, line 6 is less than zero, enter “0.”
- Enter the decimals on lines 10 and 15 to four decimal places. Neither can be greater than 1.0000.
- Complete the Schedule of Income Allocation only if you are an Arizona resident who is also considered a resident of another state under that state’s laws. Otherwise, skip it.
- Remember to include Form 309 with your return and use a separate form for each state or country.
Questions people ask
Which Arizona returns can use Form 309?
The form is for use with Forms 140, 140NR, 140PY, and 140X.
Can I use one Form 309 for several states or countries?
No. The form requires a separate Form 309 for each state or country for which you claim a credit. It also directs you to consult the instructions when claiming credits for more than one state or country.
Who completes the Schedule of Income Allocation on page 2?
Only an Arizona resident who is also considered a resident of another state under that state’s laws completes this schedule. Other filers skip it.
Where do I report the allowable credit?
Enter the smaller of line 11 or line 16 on Form 309, line 17. Also enter that amount on Arizona Form 301, Part 1, line 2, column (a).