309: Credit for Taxes Paid to Another State or Country (2025)
Arizona · Arizona DOR · Used for tax years 2025
Arizona Form 309 calculates the credit for income taxes paid to another state or country for 2025. It reports income subject to tax by both Arizona and the other state or country and computes the allowable credit.
Who files this form
Use 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
To complete Form 309, have the following information available:
- Your name and Social Security number, plus your spouse’s information if filing jointly, as shown on your Arizona return.
- Each income item reportable to both Arizona and the other state or country, including the amounts included in each jurisdiction’s adjusted gross income or equivalent.
- Your Arizona tax liability after other credits, the income tax paid to the other state or country, and the total income taxed by each.
- Arizona Form 301, where you also enter the allowable credit.
If you must complete the Schedule of Income Allocation, you will need amounts reported on your 2025 federal return, Arizona return, and return filed with your other state of residence.
How to file
Include Form 309 with your Arizona return. Use a separate form for each state or country for which you claim a credit.
Enter the allowable credit from line 17 on Arizona Form 301, Part 1, line 2, column (a).
The supplied form does not provide a mailing address or e-file directions.
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.
- On line 6, include totals from additional schedules. If the total is less than zero, enter “0.”
- Enter the decimals on lines 10 and 15 to four places. Neither can be greater than 1.0000.
- Enter the smaller of line 11 or line 16 on line 17, and also enter that credit on Form 301, Part 1, line 2, column (a).
- 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.
Questions people ask
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.
How do I identify the other state or country?
Enter the state’s two-letter abbreviation in Part 1, item A, or the country’s name in item B.
How is income taxed by both jurisdictions entered?
For each income item, line 5 uses the smaller of the amount included in Arizona adjusted gross income on line 3 or the other state or country’s equivalent on line 4.
What amount is my allowable credit?
Line 17 is the smaller of line 11 or line 16. Also enter that amount on Arizona Form 301, Part 1, line 2, column (a).
Who completes the Schedule of Income Allocation?
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.