What am I doing wrong? I'm being taxed for retirement money. The State of Alabama does not tax Alabama Retirement System retirement income. But it's asking me for the state ID, which is not listed on the 1099-R and when I go to Forms it takes me to Pensions/Annuities/IRAS Income Exclusion Worksheet. This has never happened before. This pension is not taxable and their is no Alabama tax withheld.
Did I enter the 1099-R incorrectly on the federal side? This has never happened top me before. Any advice?