How do I take the Colorado exemption to part of my military retirement? I can't see if TurboTax did that automatically or how to tell. Thanks.

[rogerdhartman]

I see that screen.  What I don't know is the amount to enter j"... the portion that qualifies for the Colorado pension and annuity exclusion."  I know part of my military pension qualifies.  I tried to enter 1099-R as it says to do in the search field at the top right and in the block under Roger next to Qualitying Pension and Annuity Income field, and I can't get back to whatever was there before.  I can't tell from this if I've got the right number in that box.  Maybe I'll just delete the state return and do it on the State of Colorado web site.  I need to know it's right.  How would I delete the state return without affecting my federal return?  Thanks

[LindaA]

You'll need to enter the amount of your military retirement income that qualifies to be excluded from your Colorado taxable income on the Pension and Annuity Income screen during the Colorado state tax interview. (Click the first screenshot below for reference.) Click the Learn More link or see Colorado DOR document FYI Income 21 Military Service Members for more information.

To view this information, click Forms at the top of your screen and scroll down under Colorado Individual and select Pens Excl Wks. The qualifying amount (line 5) is limited to the allowable exclusion (line 6). (Click the second screenshot below). 

[Edited 03.17.2018 I 03:03PM PDT]

[LindaA]

@rogerdhartman I've edited the answer above and added some extra screenshots. You should be able to file your Colorado return using TurboTax. The onscreen guidance in the Colorado interview is a bit confusing--you don't need to invoke the search field. You can just enter the correct amount on the Pension and Annuity Income screen during the Colorado state tax interview. To preview the Colorado return before you file, follow the instructions above and verify the right amount was subtracted. I hope this information helps.

[rogerdhartman]

Really appreciate the quick response.  I checked Colorado law online and it turns out that CO allows up to $24K reduction of taxable income for state tax for the sum total of all federal pensions, so there was no additional allowable increment for my military retirement because I’m 70 and my social security covered the $24K.  Maybe the instructions for Colorado can be improved next year.  All processes can be improved.  Great customer support as always.  I will continue to be a TurboTax customer.

[LindaA]

@rogerdhartman Yes, some additional info in the instructions seems prudent. We appreciate your input and thank you for your kind words.