you should get a 1099R for 2024 if should have code G (box 7) which tells the IRS it's nontaxable because it was a direct rollover.
Tip: Make sure you see the letter “G” on your 1099-R form (in Box 7), which indicates that you did a rollover. This is especially confusing when financial institutions use the word “distribution” for your rollover.
Errors in Reporting 401(k) Rollovers
If you do not have a G in box number seven, you will have a problem. Your 401k provider reported the rollover incorrectly, and this will cause some headaches for you. The IRS will believe that you didn’t roll the funds to another retirement account, which means you would owe income tax (and possibly penalties) on it.
Call the investment provider or your former employer. It’s important to be proactive if you discover an error — if you wait you’ll just forget all of the details of the transaction, who you talked to, and where things could have gone wrong. Start by contacting the company that printed the check (the investment provider) — they should have all of the records necessary.
When rollovers are not coded correctly — and not corrected — you’ll eventually get a letter from the IRS stating that you under-reported your income. They show the distribution as income you received, and they expect some taxes. it’s best to get a corrected 1099 to the IRS that you actually rolled the money over.
