Thank you @BillM223 for your help, time and reply.
Yes my principal (contributions) invested in my Roth IRA was already taxed by NJ and yes I went all the way through the entire TurboTax process up to the point of doing the final review, checks etc. I will try to do so again but I truly think there is a bug with TurboTax since my Fed isn't making it taxable but NJ is and as the link you provided states;
"The New Jersey Income Tax treatment of Roth IRAs conforms to the federal treatment. Direct contributions to Roth IRAs are not deductible and qualified distributions from Roth IRAs are not includable in New Jersey income."
