I get my retirement pension from Michigan. I moved away 3 years ago. I have no MI tax withheld. What does box 16 mean on my 1099-R? Turbotax says it is taxes paid.

[nlt0]

Turbo tax says I should consider filing a nonresident state return. I do not pay because I had income taxes withheld for MI but I didn't...not sure why that was generated.

[KathrynG3]

Box 16 on Form 1099-R is for the full amount of income earned. Box 14 would list taxes paid.

Recheck your input on Form 1099-R that nothing in the state section is filled out to resolve the error. To check, run the Review after updating Form 1099-R.

If there is nothing in this section already, the fastest solution is to follow these steps:

• Return to the original entry.
  • Using the search box, search for 1099-R and select the Jump to link.
• Delete Form 1099-R
  • Click the trashcan icon next to Form 1099-R.
• Then, re-add Form 1099-R.
  • Click Add Another 1099-R.
  • Be sure that you are reporting the type of Form 1099-R as received. 

Michigan has a different treatment for different types of Forms 1099-R. For example, Form CSA-1099-R is not taxed the same as Form 1099-R.