"Please note: An Arizona full-year resident is subject to tax on all income, including earnings from another state. Arizona will also tax retirement from another state. Residents are taxed on the same income they report for federal income tax purposes, subject only to the specific modifications allowed under state law."

From: https://azdor.gov/individuals

Agreed, so OP, I wouldn't adjust any sourcing in Lacerte for this. I'd only adjust it if the rental was in another income-tax state to properly calculate any OSTC.