I received a 1099 for taxable distributions. Turbotax is treating the income as taxable federally (correct) but exempt for state (incorrect). How can I fix this?

The state return is MA. When I manually adjust the state exempt amount to match 1099-R and treat the distribution as taxable for MA, it says I can't e-file.

3689

Expert Alumni

Mar 25, 2025 1:29:13 PM

Income from most private pensions is taxable in Massachusetts and certain government pensions are exempt under Massachusetts law.

What is the nature of the pension that is causing this issue? What is the name of the issuer of the pension distribution?

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I received a 1099 for taxable distributions. Turbotax is treating the income as taxable federally (correct) but exempt for state (incorrect). How can I fix this?