My wife's pension is being taxed on the Michigan return and it should be exempt. I've gong back to the data input section and I keep getting the wrong answer...

Michigan taxes some pensions and not others. In other cases, the pension is reduced when added to state income.

See the Michigan website for details.

When you begin your Michigan interview in TurboTax, after a few screens, you will come to a screen entitled "Where Did Your Retirement Income Come From?"

Answer these questions as accurately as you can, because TurboTax needs to know if this pension income can be excluded based on the rules on the Michigan website (above).

The next several screens ask you to confirm each type of pension.

Based on your answers, TurboTax will remove as much pension income as is allowed.