That depends, but in most cases it won't be necessary to report at all. This is because Kentucky excludes the first $41,110 of pension income regardless of the source. If the pension amount is less than $41,110, nothing will come up about this in the KY return because it is all excluded. If the pension is more than $41,110, then you will see screens that will ask questions about what type of pension it is (likely a government pension) and the percentage amount, etc. TurboTax will calculate how much of the pension would still be taxable at that point. This is all calculated on KY Schedule P.
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