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Level 1
February 4, 2020
Question

I keep getting an error taxable amount should not be greater than gross distribution amount, I am entering EXACTLY what is on my 1099 R what is the issue

  • February 4, 2020
  • 4 replies
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4 replies

macuser_22
Alumni - Champ
Alumni - Champ
February 4, 2020

The gross distribution is the 1099-R box 1and taxable amount is box 2a.

 

Is box 2a actually more then box 1 on your 1099-R?    The taxable amount is what part of box 1 is taxable, it can never be more than the total of box 1.

**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.**
Level 15
February 4, 2020

There is an insurance company (I don't know which one) that apparently mistakenly believes that a Form 1099-R issued for something related to a loan from an insurance policy (I don't remember exactly what) is reportable in box 2a without including it in box 1.  Is this your situation?  If so, you are unlikely get a proper correction from the insurance company and you might be necessary to file a substitute Form 1099-R (Form 4852) to add the box 2a amount to box 1.  However, before filing the substitute form you are first required to attempt to get a corrected Form 1099-R if the form provided by the payer shows an amount in box 2a greater than the amount in box 1.

Level 2
April 1, 2020

I have the same problem with a partial rollover and the numbers a exactly the same.  is that the issue it is a complete rollover?

Level 15
April 1, 2020

@Eagleonfinal

 

Are you saying that the amount in boxes 1 and 2a are the same, yet you rolled over part of the distribution to an IRA or other proper retirement account?

 

This would suggest that the issuer of the 1099-R was unaware that part of this distribution would be a rollover (and I can see how that would be possible).

 

Try going through the screens after the 1099-R and entering that part of the distribution was a rollover and see if that reduces the taxable amount.

 

Worst case is to split the 1099-R into two 1099-Rs, one with only the rollover portion and the other for the rest of the distribution.  

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Level 2
March 13, 2022

I am getting the same error on the 2021 version. What was the resolution in 2020?

macuser_22
Alumni - Champ
Alumni - Champ
March 13, 2022

@jyyonemura wrote:

I am getting the same error on the 2021 version. What was the resolution in 2020?


To make box 16 the same as box 1.    Some states do not like an empty box 16 even though that is the accepted industry standard when there is only one state.

**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.**
Level 2
March 20, 2022

I had the same problem, so I deleted the form and tried entering it again. As I did so, I realized that I made a mistake the first time. I had taken a distribution and later put some of that distribution back into my IRA. After I corrected that oversight, the problem resolved itself.