Employees Retirement System of Georgia that’s state tax exempt is being taxed by Turbo Tax! Why?

[Rubo219]

When I input the 1099R for my wife’s retirement, it is exempt from Ga tax and she pays a percentage of Fed Tax. Turbo Tax has helped us for years. But now, when I put her 1099-R in, it shows we owe Ga and Fed tax! Why?

[DoninGA]

After entering the Form 1099-R, there is a following screen Where is your distribution from? did you select the box Money from the Teacher's Retirement System of Georgia?

[Rubo219]

No

[Rubo219]

My wife worked for DFACS. 30 years. (Dept of Family & Children Services)

[DoninGA]

Working for DFSCS is not the same as being employed as a teacher covered by the Teacher's Retirement System of Georgia

A Georgia government employee is not exempt from paying taxes on their retirement income