Confused on the az department of revenue families tax rebate?

You don't state what your particular issue is, but the Arizona Families Tax Rebate is subject to federal income tax, but not Arizona income tax.

According to Are the rebates subject to federal income tax? on the Arizona Families Tax Rebate page:

The Internal Revenue Service has determined that the rebate is subject to federal income tax and, thus, requires it to be reported as part of your federal adjusted gross income on your 2023 federal income tax return. For this reason, the Arizona Department of Revenue is issuing a Form 1099-MISC, Miscellaneous Information, which reports miscellaneous compensation and other payments, to those who received an Arizona Families Tax Rebate. 

 

Note that the rebate is not subject to Arizona income tax and should be subtracted from your federal adjusted gross income on your 2023 Arizona individual income tax return.

You should have received a Form 1099-MISC reflecting this rebate in box 3.  To enter Form 1099-MISC in TurboTax Online:

1. Select Tax Home in the left pane
2. On the Hi, let's keep working on your taxes! screen, select the dropdown to the right of Wages & Income
3. Select Start, Pick up where you left off, Review/Edit or Work on other income, as appropriate
4. Scroll down and select the dropdown to the right of Other Common Income
5. Select  Start or Revisit to the right of Form 1099-MISC
6. Answer  Yes to the question, Did you get a 1099-MISC?

From here, you can input any information necessary.

See the TurboTax Help article Where do I enter a 1099-MISC? for alternate entry guidance.

After entering the form in the federal section of TurboTax, it will be adjusted when you do your Arizona state return.