AZ HB2597

Allows taxpayers to subtract certain net capital gains from federal adjusted gross income based on income thresholds and the date the capital asset was acquired.

For single filers/heads of household with taxable income over $50,000 and married joint filers with income over $100,000, permits subtraction of 57% of net capital gains from capital assets acquired after December 31, 2011.

Permits subtraction of long-term capital losses against long-term capital gains, with different ordering rules depending on whether the capital asset was acquired before or after December 31, 2011.

Allows excess long-term capital losses to carry forward to succeeding taxable years to offset future capital gains in the same prescribed order.

Applies retroactively to taxable years beginning from and after December 31, 2011.