Alabama does exempt military retirement from state taxes.
Please follow these steps for correct reporting on the Alabama return:
That should exempt your military retirement from Alabama taxes.
See screen shots below.
I seem to recall that the military 1099-R exemption is handled during the AL interview.
..Finish all of your Federal stuff first, then look for a question about that retirement income during the AL interview.
Alabama does exempt military retirement from state taxes.
Please follow these steps for correct reporting on the Alabama return:
That should exempt your military retirement from Alabama taxes.
See screen shots below.