New Jersey State Tax Refund

On Line 54 of my NJ State return it indicates TAX DUE of $7,619.

 

On line 55 is Income Tax WITHHELD from my 1099's of $29,393.

 

The result on Line 78 is a REFUND of $21,774!

 

ALL Tax Withheld on the 1099's is from the REQUIRED MINIMUM DISTRIBUTION during 2020.

 

Is this correct? NJ State does not tax distributions from 401K's and IRA's?