If I was active duty military until December 16, 2016 do I put active duty and my paygrade for my taxes?

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Yes, you will indicate you were on active duty and your highest pay grade during the year. You can show in TurboTax that you both served and left active duty during 2016.

Please follow these steps:

Sign in to your TurboTax account
Click Take me to my return (orange button)
Click on Personal Info tab
On Personal Summary Info screen click Edit button to right of your name
On Your personal info screen click radio button next to Yes under I am a member or former member of the U.S. Armed Forces (active, reserve or National Guard).
On what was your military status as of December 31, 2016? screen click box to left of I left the military in 2016.
On what was your highest military pay grade in 2016? screen indicate the highest pay grade you attained in 2016.