Can someone tell me why my military retirement pension shows up as taxable on my Massachusetts state tax return?

[smithbowlers]

Been retired for over 25 years, used turbo tax for most of that time and this is the 1st time I've had this problem.

[AHx4]

We are having the same problem in Mississippi. The sate DOES NOT count our PERS retirement as taxable, but for some reason TT is this year. There has been many post about it, but still TT doesn't seem to have a "CORRECT" answer  Following your question now. 

[DianeW777]

I agree the retirement should not be taxed. MS Individual Income Tax Checklist

When I walk through the Mississippi  (MS) state interview, there are forms to fill out missing information for the Forms 1099-R.  I would suggest that you make sure you have selected MS in the federal form entry and then enter zero for the amount box.  

Please update with more questions if necessary.

[Edited: 02/17/2021 | 11:08a PST]

[AHx4]

I have done all these steps and it's still saying I owe state tax. I contacted my retirement board and they have had many many calls about this. They said it is a Turbo Tax problem with Turbo Tax having to do with box #7 and they way y'all have it coded. I know from reading other blogs it was suppose to be fixed, but it has not. 

[JoannaB2]

Generally, distributions are taxable to both federal and state income tax returns,  There are some states that don't tax retirements. Massachusetts didn't allow a pre-tax retirement contribution.  If Massachusetts 1099-R Box 16 listed an amount, you needed an adjustment on your MA income tax return.  You have to edit Massachusetts and enter the Non-taxable MA pension.  If adjustmend was made, the income tax return must be mailed to Masschuetts Department of Revenue..