I received distribution from deferred compensation in Hawaii due to COVID. I elected to pay tax on it for 3 years with the federal. However, the State of Hawaii did not adopt the federal provisions for COVID related distributions. So when I'm doing my taxes, it asks "Enter the nontaxable portion of the pension distribution you received". What does this mean? Does Hawaii tax deferred comp? On 1099-R, it shows an amount on line 16, state distribution, but nothing in state tax withheld. Do I need to enter ENTIRE amount from line 16, 1099-R as nontaxable? If anyone can assist me, I'd really appreciate it. Thank you!
