Regarding state of Virginia tax exemption of military retirement. How does Turbo tax reduce amount by $20,000 for 2023?

[Geo703]

I am military retiree, but I do not see any reductions reflected of my AGI for the $20,000 Virginia exemption of military retirement

[ThomasM125]

When you go through the Virginia tax program in TurboTax, you will come to a screen that says Here's the income that Virginia handles differently. On that page you need to start the Military Benefits Subtraction option. 

You will be asked to enter your military benefits and up to $20,000 of the benefits will be exempt from tax if you are age 55 or over.