I am active duty military and I am an illinois resident. It is saying that I owe state taxes, but active duty military dont pay state taxes, how do i fix this?

Yes military pay is excluded however civilian pay is not.  First you should check "My Info" section to ensure residency questions are answered appropriately.  The you should check the W2 entries and follow on questions to ensure "active duty military" is selected for the applicable wages.  Finally, go through the IL state return and you will get to page titled "Military Pay Exclusion" which should be populated from your federal entries.

First verify residence information.

1.  Click "My info" in left hand menu

2.  Click Edit next your name

3.  Answer the "Military or Former Military" questions

4.  Select IL as your state of residence (based on home of record)

5.  Continue

6.  Repeat the steps for your spouse, if applicable

7.  Scroll down to "other state income";  Edit

8.  Select any applicable states and review the income situations

9.  Select "yes" or "no" as applicable

Then check income entries.

1.  Click "Federal" in left hand menu

2.  Click "Income & Expenses" tab at top of page

3.  Scroll to "Job W2"; Edit

4.  Edit applicable W2

5.  Check that entries match W2 form

6.  Answer follow on questions; select "active duty pay"

The verify in the state interview.

1.  Click "State" in left hand menu

2.  "Prepare State"

3.  Continue IL return

4.  Go through interview to get to "Military Pay Exclusion" page; verify amount