How do I enter an additional page for Form 1040 that needs explanation to avoid IRS confusion?

Forum|Forum|7 years ago
June 6, 2019
5 replies
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Every year, I get a dun notice from IRS, thinking that I did not report all income.

I have an entry from a Trust account. There is only one line on Form 1040, but I need an explanation of the single entry to show the several sources of income that make up the single entry.

Very similar with what TT did to explain my IRA basis

TurboTax Premier Windows

VolvoGirl

Level 15

Then you will have to print and mail your return. But don't expect the IRS to read extra statements. What line on the 1040 does it show up? Line 21 for other income? Where does thr IRS want to see it?

VolvoGirl

Level 15

What kind of forms do you get for this? Like a K-1 or 1099R or 1099Misc, etc. Please explain more what this is. Why do you need to split out the sources?

macuser_22

Alumni - Champ

IRA basis is reported on a 8606 form, not any explanation statement.

Additional information cannot be e-filed. Mailed returns are first sent to a data entry clerk who enters it into the IRS processing system. Any attached statement is likely to be ignored and filed away with the paper return.

**Disclaimer: This post is for discussion purposes only and is NOT tax advice. The author takes no responsibility for the accuracy of any information in this post.**

dmertz

Level 15

Regarding IRA basis, if that basis came from a rollover a after-tax money in a qualified retirement plan, a transfer incident to divorce, or basis inherited from a deceased spouse, the IRS will probably want an explanation for the adjustment to the basis being reported on From 8606 that is different from that carried over from the individual's previously filed Form 8606. TurboTax has a mechanism to include such an explanation in the e-filing. Unfortunately, there is no method for including an unsolicited explanation.