NC Military Retiree pay and SOURCE of distribution.

[Pirate6BR]

In wages and income section.    For a 1099-R input.    TT is asking: "Select the SOURCE of this distribution and enter any other NC information".  My 1099-R draw is from my IRA not my Military retiree pay BUT should I check the BAILEY settlement since I am not charged NC Tax on my retiree pay?  

[SteamTrain]

@Pirate6BR 

No.  IRA distributions are not eligible for the Bailey Settlement selection.

Only your actual DFAS 1099-R, and a DFAS 1099-R is not an IRA.

An IRA is an entirely separate personal account.

[SteamTrain]

And in the NC Q&A, there will be a question about a Military Retirement subtraction.

You don't put in anything there since you a e apparently using the Bailey Settlement.

That extra section is ONLY for DFAS Military 1099-R form distributions that do not qualify for the Bailey Settlement.....i.e. any retired Military person who did not have 5yrs of eligible military service before 12 August of 1989.  (which is a more common situation for recent military retirees)