50-state QSBS conformity grid
The federal §1202 exclusion is a federal rule. Whether your state honors it decides whether your sale of QSBS stock is actually tax-free at the state level — or whether your state turns around and taxes 100% of the gain anyway.
Conformity interacts with the rest of the §1202 mechanics: the $10M-or-10×-basis exclusion cap determines the federally-excluded slice, the five-year holding period gates federal eligibility in the first place, and a §1045 rollover can shift the state-tax leg into a different jurisdiction. Run your facts through the decoder, then check Form 8949 reporting for how the federal adjustment carries to the state return.
All states, alphabetical
Click any state for its full conformity rule, the controlling state statute, and a state-specific worked example.
Four conformity buckets
Partial conformity (2)
The state honors part of the federal exclusion; a per-state add-back rule applies.
Full conformity (37)
The state honors the federal §1202 exclusion 1:1. State tax applies only to the federally-taxable portion.