You will enter the 1099-R as you normally would. Then, when you reach the MI state return portion of the program, you will mark that the income is excludable from MI state taxes.
- When you are ready to file your state return, continue with the onscreen instructions until you reach the Where Is This Distribution From? screen.
- Choose Other qualified IRA distributions and private-source pensions in order to have it excluded from state withholding.
This TurboTax FAQ link explains how to enter Form 1099-R into TurboTax.