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kim_thomas
Returning Member

1099-R with box 2a blank and both boxes in 2b checked ending up $0 taxable?

I received a rollout of a private company stock that was held by Equity Trust Company as part of my 401K.  Fidelity held all the normal types of equities but not this private company stock.  The 1099-R had an amount in box 1, Box 2a blank, Box 2b had both options checked as this was a total distribution of the Equity Trust Company account (small part of total 401K funds with most at Fidelity), box 7 has code 7 and the IRA/SEP/SIMPLE box was NOT checked.  TurboTax says I have shown the amount taxable as $0.  I believe it should be 100% taxable.  Community inputs seem to indicate that in this case, TurboTax would ask qualifying questions to determine taxable amount but does not explain what those questions are trying to sort out.

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