The way the backdoor IRA works is you make a contributions to a traditional IRA and then transfer it to a ROTH IRA. If the contribution you made is non-deductible, then the withdrawal of it would not be taxable, and in that case your entry would be correct.
You need to be sure that the 1099-R that you receive list "0" in box 2a "Taxable Amount." Otherwise, if you made a deductible contribution to the IRA, you will need to add that in as a deduction and the pension distribution will show as taxable and the two will cancel each other out. If you account for it that way, then you need to enter $7,000 in the Taxable Pension or IRA box on the Alabama return, and your IRA contribution deduction will appear in box Part II, line 1(a) on the Alabama form 40.
Hopefully, you made a non-deductible IRA contribution and it is reported as such with "0" listed on form 1099-R as taxable amount, in which case you are all done!
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