I am a retired New York State employee with a pension that is exempt from New York State Income tax. I have entered that information into Turbo Tax as per my 1099R form. However on my IT201 (New York Resident Income Tax Return) it is showing my pension amount as taxable, and it is showing a pension and annuity income exclusion which I thought should only apply if the pension is taxable.
Can anyone shed any light on this? Am I misunderstanding something?
Thank you.
