Why can't I change the retirement income type code on the State of MI return from N to P?

[SteamTrain]

@Scharpjb 

I had a similar issue on an NC tax return's 1099-R. The key for mine was that I had to put "NC" into the box 15 state code.

So try putting "MI" into box 15 first.    If it's already there, then i guess it must be something else.

(You should really be making the selection during the entry of the 1099-R form thru the interview steps, to make sure all follow-up questions get answered)

[Scharpjb]

Thank you.  I made sure MI is in box 15 on the Federal 1099-R entry form but still unable to make the change on the State of MI return.  The only thing I can think of is that the distribution was an RMD from an inherited IRA my wife received which Michigan considers as taxable income.  

[SteamTrain]

Ahh..Yes,  Distributions from IRAs are usually considered taxable income for both Federal and State  tax returns... inherited or not, since most $$ that went into an IRA account came from before-tax $$.

Might be a few state exceptions (like PA?), but I have no idea how MI treats them.