It was an MP3.
Had to call into apple support for this one. Here are the steps that I can remember:
- You must use the "File>Import File" command. You can't just put it in the folder via windows explorer.
- You have to convert the file to AAC thru the "File>Convert>Create AAC Version" You can't right click and do it under options anymore (Even the Apple support person thought it was ridiculous)
- Once in your library as an AAC, if you want it to be a ringtone you need to change the file type from a .m4a to a .m4r using windows explorer.
- From there, you can import it into the iphone, but here is the kicker... You have to do it from the iphone page in itunes, you cannot directly import it from the main or home screen in itunes (again, ridiculous). You have to drag and drop from windows explorer.