Where is the place to add the military ($2500.00) credit for we retirees in the State Filing?? Has this changed? AZ

[mesquitebean]

I'll ask someone familiar with AZ returns if they can assist you on this.   It's also possible someone else may provide info in the meantime.

@Rainman12  Are you please able to assist in this thread when you are next in the forum?    Thanks!

[DMarkM1]

The entry point is in the federal interview. 

1.  In "My Info" be sure AZ is your resident state. 

2.  Then enter/edit your 1099-R information in the "Income & Expenses" tab. 

3.  Once that information is entered the follow on question asks about where that retirement pay came from.  You should select the 'Federal Government Pension" box for military retirement. 

You can verify in the AZ state interview.  Just click through the pages and you will get to a page titled "Government Pension Deduction" showing your pension deduction ($2500) for Arizona.  

[Rainman12]

For 2019 AZ returns, there should be TWO choices for the pension reduction. Federal/State retirees get a $2500 reduction; Military retirees get a $3500 reduction; If you have both types of retirement, then you get both amounts reduced from your AZ state taxable income.

The other answer on this thread is from a TurboTax employee, who can now perhaps clarify how to activate Military vs. Federal/State amounts ...

[DMarkM1]

Glad to help.  In the federal interview one of follow on questions when entering 1099-R information is "Where is this distribution from?"  In that list you will find "Federal Government Pension" and "Retired or retainer pay of the uniformed services of the US."  Select the appropriate button for the 1099-R you are entering.