MA State has the same adjustment to taxable Unemployment Income as the Federal form 1040 Schedule 1 Line 8 of -$10,200. However, the MA State Return on Turbotax doesn't have that taxable income adjustment.
TurboTax calculations are correct and up-to-date for your state. You can go ahead and finish and file your state return.
I had the same question. I received the following answer last evening.
Yes, there should be a deduction. The TurboTax program has not been updated yet to reflect the deduction for unemployment income yet, as the legislation was just passed recently.
If you file your tax return before the adjustment is installed, the state will adjust your return to reflect the change, but it would be best to wait until TurboTax has been updated to make sure you return is processed properly.
According to the Massachusetts Department of Revenue's Tax Filing Season Frequently Asked Questions page, they'll adjust affected tax returns for most taxpayers who already filed, and no amended return will be needed:
Do not file an amended 2020 return before you hear from us. DOR will send a communication to all taxpayers who previously filed a 2020 income tax return reporting unemployment income and will adjust tax returns automatically for most taxpayers who meet the criteria for the unemployment deduction.