topic Pennsylvania Income from 1099-R appears to be incorrect. in State tax filing

Pennsylvania Income from 1099-R appears to be incorrect.

Rkgohl — Mon, 09 Mar 2026 08:45:35 GMT

I received 3 1099-R forms, 2 from 401-k distributions and 1 from a company paid pension. Pennsylvania does not consider money from these accounts as income. However; the one 1099-R from my company pension is being included as part of my taxable income for the state of Pennsylvania. This has NOT been a problem in the past few years, so why is it a problem this year? I need to get this resolved so I can file my state return. Please let me know as soon as possible what can be done to correct this issue. Thank you.

Re: Pennsylvania Income from 1099-R appears to be incorrect.

ErnieS0 — Wed, 09 Mar 2022 03:41:12 GMT

You can change the coding in the Pennsylvania section to tell TurboTax that your pension is not taxable.

Here's how:

Start Pennsylvania
Continue to What kind of retirement income do you have from Pennsylvania?
Select I'm eligible, plan's eligible (no PA tax)

Distributions from an eligible Pennsylvania retirement plan is not taxable if you met the plan requirements (the age and/or years of service required by the plan) for retirement, and retired after meeting those requirements.

Refer to How do I know if the amount on my 1099R (1099-R) is taxable on my PA Personal Income Tax Return?

Re: Pennsylvania Income from 1099-R appears to be incorrect.

Rkgohl — Fri, 11 Mar 2022 13:35:56 GMT

Your solution worked perfectly, thank you for the quick response. Both federal and state taxes have been filed.

Re: Pennsylvania Income from 1099-R appears to be incorrect.

gcutuly — Wed, 08 Feb 2023 18:19:31 GMT

Your response is correct HOWEVER with 'I'M Eleigible No PA tax' TT does not move to the next screen when CONTINUE is selected. I checked all of my Federal 1099-R entries

Re: Pennsylvania Income from 1099-R appears to be incorrect.

BillM223 — Wed, 08 Feb 2023 20:11:17 GMT

Actually, there is a change when you hit "Continue". The first paragraph on the page "What kind of retirement income do you have from Pennsylvania?" states, Pennsylvania needs us to get really specific about the kind of retirement income you're receiving from XXXXX, where XXXXX is the name of the payor of the first 1099-R.

After you enter the State Type Code, you hit Continue. Then, instead of going to a new page, you go to a page that is identical, except that the payor's name (XXXXX) is changed to the name on the second 1099-R.

This continues until all the 1099-Rs have been processed.

Re: Pennsylvania Income from 1099-R appears to be incorrect.

gcutuly — Tue, 14 Feb 2023 19:38:30 GMT

100% correct.