There is a software bug in the Turbotax 2023 Deluxe desktop version. A simple test can show the case as below:
- Switch to “Forms” view
- Go to a form 1099R, Make sure that at box 7: sub-box”IRA/SEP/SIMPLE” is checked . At box 1(Gross distribution), enter 4000; At box 2a(taxable amount) ,enter 2000;
- Go to form 1040 -> Look at the value of box 4b (taxable amount :( 4000 which should be 2000 (Note: If there are two or more form 1099Rs, the 1040-box 4b should be the sum of all 1099R-box 2a, not box 1)
- Because for most of 1099R forms, the numbers at box 1 and box 2a are the same, so usually this bug won’t be noticed.
I talked to Turbotax support (case# xxxxxxxx) and hopefully they could fix it before the Tax day.
