I'm trying to copy and paste some work in AI to PS as a smart object but it's coming in as pixelated. I know most of these problems are solved with anti-aliasing but it's doing absolutely nothing when I click it. I managed at one point to get it to change but the change was making the lines jagged. I've just been playing around with free transform and resizing it but still no change. I also tried changing preferences for image interpolation and again it does nothing. So basically my options right now are pixelated or jagged lines instead of clear. Are there any other settings that I should be checking in either AI or PS?
I usually drag and drop from Illustrator to Photoshop to make a Vector Smart Object. When I bring it the first time, I use Cmd+T to scale it, look in the options bar for the scale percentage, then cancel the procedure.
I then scale it in Illustrator to the same percentage (or a tad larger), and drag and drop it again. See if that works for you.